We investigate whether government subsidies to local input manufacturers encourage procurement from foreign firms. We … boundedness of the linkage variable. -- Multinational enterprises ; backward linkages ; subsidies …

Tax subsidies alter the distribution of tax burdens in ways that blur the ability of researchers and policymakers to … of tax subsidies granted on a discriminatory basis. We find that better-governed countries are more likely to grant … subsidies and to direct larger amounts of this “tax aid” toward mobile firms (i.e., firms that are part of a multinational …