We analyze whether globalization affects the composition of public expenditures for education by integrating arguments … from the Heckscher-Ohlin and the tax competition literature into a common theoretical framework. The model suggests that … towards lower education. In industrialized countries, on the other hand, globalization has an ambiguous effect on the …

corporate tax rate, relative to the wage tax, either when preferences for public goods increase or when a rising share of …

Are the predictions of tax competition theory wrong? Recent empirical results on capital taxation suggest that this … might be the case. While tax competition literature predicts that capital taxes decrease with increasing globalisation … of globalisation are not competing, they both appear to apply at the same time: efficiency has an impact on the tax …