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empirical implications are tested using a large panel of jurisdictions in Germany, which have discretion in setting the local …
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This paper is concerned with fiscal externalities arising from local taxation of a mobile factor. Using a panel of more 1100 local jurisdictions it provides empirical evidence on how the local tax rate as well as the tax rate in the neighborhood affect the local tax base. The results support the...
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quantitative analysis for Germany indicates that such concerns are misplaced. We find that the abolition of VAT differentiation has …
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government will enhance efficiency. A system of redistributive grants among governments is introduced into a standard model of … in Germany. The results suggest that attempts of state level governments to extract fiscal resources from the local …
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