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commuting policy that liberalized cross-border labor markets between Switzerland and the EU. The reform was implemented at a …. Identification rests on exogenous regional variation in treatment intensities based on commuting times. The results show that … compared to less-affected regions. This is consistent with the theory according to which governments can tax rents that arise …
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We set up a simple model of tax competition for mobile, highly-skilled and overconfident managers. Firms endogenously choose the compensation scheme for managers, which consists of a fixed wage and a bonus payment in the high state. Managers are overconfident about the probability of the high...
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Many countries have introduced patent box regimes in recent years, offering a reduced tax rate to businesses for their IP-related income. In this paper, we analyze the effects of patent box regimes when countries can simultaneously use patent boxes and R&D subsidies to promote innovation. We...
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This paper reviews the new economic geography literature, which accounts for the uneven distribution of economic activity across space in terms of a combination of love of variety preferences, increasing returns to scale and transport costs. After outlining the canonical core and periphery...
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