regulation when policy is determined in a lobbying game between a government and firm. We compare the resulting regulation levels … lobbying, but that lobbying can reverse the welfare ordering. -- Multinational enterprises ; regulation ; policy formation … ; lobbying ; interest groups ; foreign direct investment …

This paper introduces an alternative to the lobbying literature's standard assumption that "money buys policies". Our …. Second, its much stronger lobbying incentives weaken the free-rider problem and raise incentives for lobby formation. Third …, the model yields testable hypotheses on: the determinants of lobbying incentives; the number of lobbying firms in an …