externalities in the form of inter-regional capital tax competition and technical externalities in the form of inter … and technical externalities but free-ride on the transfer system. Efficiency can be achieved by introducing a second …

Vertical externalities, changes in one level of government’s policies that affect the budget of another level of … government, may lead to non-optimal government policies. These externalities are associated with tax bases that are shared or "co … are horizontal externalities generated by cross-border shopping, there is still reason to co-occupy the tax base if …

-post federal policy internalizes horizontal fiscal externalities, insulating tax policy from capital mobility. Federal policy … externalities welfare-deteriorating relative to tax competition. …

-post federal policy internalizes horizontal fiscal externalities, insulating tax policy from capital mobility. Federal policy … externalities welfare-deteriorating relative to tax competition. …