This paper provides novel evidence on the role of income taxes for residential rents and spatial sorting. Drawing on comprehensive apartment-level data, we identify the effects of tax differentials across municipal boundaries in Switzerland. The boundary discontinuity design (BDD) corrects for...

This paper explores how corporate taxes affect the financial structure of multinational banks. Guided by a simple theory of optimal capital structure it tests (i) whether corporate taxes induce subsidiary banks to raise their debt-asset ratio in light of the traditional debt bias; and (ii)...

Az önkormányzatok gazdasági-társadalmi konstrukciója nagymértékben eltérő lehet az OECD tagországok között, melyek az történelmi hagyományok, a decentralizációs hagyományok tükrében igen eltérőek, melyeket az önkormányzati rendszermodellek írnak le. A kutatásunk célja,...

Most cities enjoy some autonomy over how they tax their residents, and that autonomy is typically exercised by multiple municipal governments within a given city. In this chapter, we document patterns of city-level taxation across countries, and we review the literature on a number of salient...

This paper provides novel evidence on the role of income taxes for residential rents and spatial sorting. Drawing on comprehensive apartment-level data, we identify the effects of tax differentials across municipal boundaries in Switzerland. The boundary discontinuity design (BDD) corrects for...

Viewing local finances under the approach to private-public consumption complementarity, we conclude that foot voting and tax competition become extinct when the (capital) tax structure across jurisdictions is the one forging close ties between the burgher and his/her jurisdiction. Feeling the...

As the economic climate changes towards increased competitiveness within the public sector, the local public administration needs to identify its possible sources of own revenues and to decide on the best manner of collecting these revenues. In the present paper, the authors critically analyze...

This paper estimates the effect of political power on tax policies in municipal councils under a proportional election system. The main challenge in estimating the causal effect of parties on policy is to isolate the effect of power from underlying voter preferences and the selection effect of...

We investigate the efficiency properties of population mobility when localities compete in an environment with local amenities and local externalities. Our model is dynamic, incorporating land and labor markets in a context where firms and workers form rational expectations. Concern focuses on...

It has been a tradition of state tasks (for 250 years) to focus on financing current expenditures. The task financing system introduced undertakes to fund average current expenditures, with utilisation rules stricter than before. In addition, the features characterising the management of assets...