We provide indirect empirical evidence of profit shifting behavior by multinational enterprises (MNEs) employing a …) increases its pre-tax profitability by 7%, other things being equal. Various robustness checks support this profit shifting …

Intangible assets are one major source of profit shifting opportunities due to a highly intransparent transfer pricing … process. Our paper argues that multinational enterprises (MNEs) optimize their profit shifting strategy by locating shifting …

profit shifting activities. A simple theoretical analysis shows that tax rates abroad impact the cost of capital in the … presence of profit shifting activities of multinational companies. As profit shifting opportunities constitute a competitive …

This paper analyzes measures that limit firms' profit shifting activities in a model that incorporates heterogeneous … widespread as governments have reacted to growing profit shifting activities of multinational companies. However, besides … limiting profit shifting, such rules entail costs. As the regulations can only focus on the means to shift profits, not on …

multinational group on the use of intercompany loans, supporting the profit-shifting hypothesis. However, the implied tax …-revenue effects are rather small, suggesting that costs related to adjusting the capital structure for profit-shifting purposes are …