During the first half of the year global growth remained sluggish. While activity in emerging economies stabilized, growth in advanced economies softened. Over the next two years, we expect the world economy to pick up pace gradually, although without turning into a strong synchronized global...

This paper models a multilateral agreement on investment (MAI) as a coordination device. Multinational enterprises can invest in any number of countries. Without a multilateral investment agreement, expropriation triggers an investment stop by the single MNE. Under a multilateral agreement,...

Multinational corporations can shift income into low-tax countries through transfer pricing and debt financing. While most developed countries use thin capitalization rules to limit the extent to which a subsidiary can be financed with internal debt, a number of developing countries do not. In...