We investigate whether government subsidies to local input manufacturers encourage procurement from foreign firms. We use a comprehensive panel data of Irish firms from 1983 until 2002. Our data shows a spontaneity about linkages and relative insensitivity to grant aid, although it may be the...

This paper argues that the large reduction in corporate tax rates and only gradual widening of tax bases in many countries over the last decades are consistent with tougher international competition for foreign direct investment (FDI). To make this point we develop a model in which governments...

We use a unique exogenous corporate tax policy change in the Republic of Ireland to investigate how corporate taxation affects foreign direct investment at the extensive and intensive margin. To this end we construct exhaustive sectoral and plant level panel data and use...

The paper analyses the financial structure of German inward FDI. From a tax perspective, intra-company loans granted by the parent should be all the more strongly preferred over equity the lower the tax rate of the parent and the higher the tax rate of the German affiliate. From our study of a...

Steuervergünstigungen werden in Deutschland für eine Vielzahl von Zwecken gewährt. Sie werden mit den finanzpolitischen Beschlüssen vom Dezember 2003 teilweise eingeschränkt. Der Beitrag zeigt auf, welche Probleme bei der Abgrenzung und Messung der Steuervergünstigungen auftreten. Zudem...

Trotz der Steuersenkungen zum Jahresbeginn 2004 und zum Jahresbeginn 2005 gibt es zahlreiche Vorschläge zur Reform der Einkommensteuer. Sie zielen darauf ab, die Steuersätze deutlich zu verringern und die Steuervergünstigungen zu reduzieren oder gar abzuschaffen und letztlich das Steuerrecht...

The paper presents data on the taxation of business income in the Federal Republic of Germany in the nineties. The government's plan to reform the System of taxing corporate and personal income is portrayed and assessed. It turns out that the reform proposal has numerous disadvantages; it is...

The paper includes data on the taxation of wage income (labor income tax and contributions to social security) and capital income in the Federal Republic of Germany. Average tax rates and marginal tax rates for typical wage income earners are shown for the 1977-1999 period; average tax rates are...

Tax expenditures are granted for a variety of purposes in Germany. The paper presents data on the extent and the structure of the tax expenditures in the period 2003 to 2010. Tax expenditures were reduced somewhat in the period 2003–2006. However, they increased again thereafter.

Eine Harmonisierung der Steuern auf Kapitaleinkommen wird häufig gefordert, weil sonst bei hoher Kapitalmobilität ein Steuersenkungswettlauf eintrete mit der Folge, dass der Staat seine eigentlichen Aufgaben nicht wahrnehmen kann. Tatsächlich sind die Indizien für ein "race to the bottom"...