To examine the effects of heterogeneous labor mobility on the distribution of industries and analyze the subsidy policy … subcritical patterns, which depend on the exogenous parameters. On the examination of the subsidy competition, the full (or … and an endless race-to-the-top situation of subsidy competition may emerge. This paper provides a more general insight …

In this paper, we analyse the role of mobility in tax and subsidy competition. Our primary result is that increasing … mobility intensifies tax competition, it weakens subsidy competition. The resulting fall in the governments' subsidy payments … in which two governments are first engaged in subsidy competition and thereafter in tax competition, and firms locate and …

. Author applies the classical models of oligopoly to subsidy competition, endogenousing investment incentives, but leaving tax … rates exogenous. According to the conventional wisdom, subsidy competition leads to overprovision of incentives. This paper … subsidies. Further, in the setting of subsidy regulation, the host country's corporate income tax rate has an ambiguous effect …

We model subsidy competition for a foreign MNC's investment in two trading partners. Taking into account acquisitions …