In this paper we extend the standard approach of horizontal tax competition by endogenizing the timing of decisions made by the competing jurisdictions. Following the literature on the endogenous timing in duopoly games, we consider a pre-play stage, where jurisdictions commit themselves to move...

In this paper we set up a political economy model of a two-country world economy, where an international agreement on the provisions of public goods generating cross-border externalities, such as environment protection, subject to feasibility, efficiency and equity constraints, has to be...