Baskaran, Thushyanthan - In: Journal of Public Economics 118 (2014) C, pp. 41-51
This paper exploits an exogenous reform of the local fiscal equalization scheme in the German State of North Rhine-Westphalia (NRW) in 2003 to identify tax mimicking by municipalities in the neighboring state of Lower Saxony (NDS). The reform caused municipalities in NRW to increase their...