This paper analyses the effects of introducing a common EU tax base with formula apportionment on the size of the EU … wide tax base and on the distribution of the tax base between the EU member countries. We use a combined dataset of … the firms in the sample. Our results suggest that due to border crossing loss-offset, the EU wide corporate tax base …

income shock in the EU, compared to 32 per cent in the US. In the case of an unemployment shock 47 per cent of the shock are … absorbed in the EU, compared to 34 per cent in the US. This cushioning of disposable income leads to a demand stabilization of … up to 31 per cent in the EU and up to 28 per cent in the US. There is large heterogeneity within the EU. Automatic …

income shock in the EU, compared to 32 per cent in the US. In the case of an unemployment shock 47 percent of the shock are … absorbed in the EU, compared to 34 per cent in the US. This cushioning of disposable income leads to a demand stabilization of … up to 30 per cent in the EU and up to 20 per cent in the US. There is large heterogeneity within the EU. Automatic …