. Author applies the classical models of oligopoly to subsidy competition, endogenousing investment incentives, but leaving tax … rates exogenous. According to the conventional wisdom, subsidy competition leads to overprovision of incentives. This paper … subsidies. Further, in the setting of subsidy regulation, the host country's corporate income tax rate has an ambiguous effect …

In this paper, we analyse the role of mobility in tax and subsidy competition. Our primary result is that increasing … mobility intensifies tax competition, it weakens subsidy competition. The resulting fall in the governments' subsidy payments … in which two governments are first engaged in subsidy competition and thereafter in tax competition, and firms locate and …

The objective of this paper is to empirically assess the recently introduced models of subsidy competition based on the … ; Investment incentives ; Foreign direct investment ; Subsidy competition …

In this paper, we analyse the role of mobility in tax and subsidy competition. Our primary result is that increasing … mobility intensi.es tax competition, it weakens subsidy competition. The resulting fall in the governments' subsidy payments … governments are first engaged in subsidy competition and thereafter in tax competition, and firms locate and potentially relocate …

regional governments have only a lump-sum profit tax (subsidy) at their disposal, but face exogenous and identical transport … costs for imports, then both countries will always offer to subsidize the firm. Furthermore, the maximum subsidy is greater …

In this paper, we analyse the role of mobility in tax and subsidy competition. Our primary result is that increasing … mobility intensifies tax competition, it weakens subsidy competition. The resulting fall in the governments' subsidy payments … in which two governments are first engaged in subsidy competition and thereafter in tax competition, and firms locate and …