Seit dem 24. September erheben die USA Zölle auf chinesische Produkte im gegenwärtigen Wert von ungefähr 250 Mrd. US-Dollar; das sind 50% der Importe aus China. In der Debatte wird oft davon ausgegangen, dass diese Zölle der amerikanischen Volkswirtschaft schaden. Dies stimmt nicht, weil die...

Bargaining power may explain the tax differences between multinational and national enterprises beyond MNEs’ profit shifting. Larger firms (mostly MNEs) are more valuable for tax authorities for various reasons. In threatening relocation, larger firms extract greater deductions, resulting in a...

Rising globalization has exerted a downward pressure on global tariffs, thereby eroding tariff revenues in developing nations. We analyse how gains from lowering import tariffs are distributed within the firm and the corresponding tax (base) implications. First, we study the effect of tariff...

On September 24th 2018, the United States introduced import tariffs on a wide range of Chinese products. The tariffs will affect US imports from China with a value that exceeds USD 250 billion -around 50% of all imports. In this analysis we show that, contrary to public opinion, the greatest...

This paper studies the effect of sharing a common native language on international trade. Switzerland hosts three major native language groups which adjoin countries sharing the same native majority languages. In regions close to the internal language border the alternate major language is...

Recent work in international economics provides insights into the measurement of product variety change - i.e., the change at the extensive margin of trade - and its consequences for a country's welfare. In such work, the measurement of product variety change is typically taken as given. There...

Entrepreneurial activity differs substantially across countries. While cultural differences have often been proposed as an explanation, measuring a country's cultural characteristics suffers from various problems. In this paper, we test the hypothesis that cultural factors influence...

We study the effects of taxation on the international online advertising market, using data on Facebook ad prices, Facebook users product preferences and international trade. Our data encompass a de facto increase in the platform's corporate tax rate in several countries. We show that, due to...