This paper analyzes tax competition for mobile capital among jurisdictions where capital is employed by the subsidiaries of a unitary firm. Equity capital of the unitary firm is taxed under a formula apportionment scheme, and each jurisdiction has the leeway to choose its desired mix of...

We investigate the consequences of redistribution policy on migration and trade in a standard two-good Heckscher-Ohlin framework. With free trade and factor prices equalization, abolishing migration barriers is redundant. With the introduction of government activity, matters change drastically....