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We examine how new airport infrastructure influences regional tourism. Identification is based on the conversion of a … military air base into a regional commercial airport in the German state of Bavaria. The new airport opened in 2007 and … new commercial airport increased tourism in the Allgäu region over the period 2008-2016. The positive effect is especially …
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We provide evidence indicating that countries with well-developed social security systems do not necessarily face a trade-off between social spending and competitiveness. On average, countries that spend a lot on social needs score well in the competitiveness league. We investigate the...
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A growing literature documents the existence of strategic political reactions to public expenditure in one jurisdiction on either neighboring or reference jurisdictions. The latter might give raise to downward expenditure spiral, or "race to the bottom". However, in ascertaining the empirical...
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When countries compete for the location of a new multinational plant they need to be aware of the profit shifting opportunities this new plant creates for the global multinational firm. By modelling explicitly the multinational's intra-firm transactions, we show that the home market advantage...
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