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The intratemporal redistribution feature of the welfare state makes it an attractive destination for immigrants … implications of various redistribution policies for the attitude of the native-born towards migrants. We analyze the effect of … migration on the shape and magnitude of redistribution policies that are determined in a political economy equilibrium; at the …
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Oates reminds us that tax competition among localities in the presence of capital mobility, may lead to inefficiently low tax rates (and benefits). In contrast, the Tiebout paradigm suggests that tax competition yields an efficient outcome, so that there are no gains from tax coordination. This...
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"The literature on tax competition with free capital mobility cites several reasons for the race-to-the-bottom hypothesis in the sense that tax competition may yield significantly lower tax rates than tax coordination. With a fixed (exogenously given) population that can move from one fiscal...
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