Langenmayr, Dominika; Haufler, Andreas; Bauer, Christian - 2012
Heterogeneous firm productivity seems to provide an argument for governments to pursue 'pick-the-winner' strategies by …, favoring high-productivity firms is indeed the optimal policy. When tax competition is aggressive and proit taxes are low …, however, the optimal tax policy is reversed and low-productivity firms are tax-favored. -- business taxation ; firm …