. In this paper we show that a reduction in trade barriers lowers equilibrium corporate taxes under SA, but leads to higher … taxes under FA. From a welfare point of view the choice of tax principle is shown to depend on the degree of economic …

. In this paper we show that a reduction in trade barriers lowers equilibrium corporate taxes under SA, but leads to higher … taxes under FA. From a welfare point of view the choice of tax principle is shown to depend on the degree of economic …

taxes. However, a second version of the story reads that, if economic activities are highly concentrated in space, AE might … intraregional firm location with Marshallian AE that is able to generate both hypotheses: AE increase (decrease) the effect of taxes … hypotheses, analyzing the combined effect of local business taxes and Marshallian AE on the intraregional location of employment …