The literature on tax competition generally concludes that international coordination of capital taxes among symmetric countries increases tax rates. This paper investigates whether this conclusion also holds in a political economy framework where taxes are set by elected policy makers. It shows...

This paper presents a business cycle model with financial intermediation encompassing the conventional New Keynesian model. Households’ financial wealth comprises cash and interest bearing deposits. When deposits provide transaction services, real broad money, which is predetermined, affects...

In this paper, we examine the extent to which developing countries export more as a result of being officially labelled as an LDC and consequently being eligible for a range of unilateral trade preferences. We estimate a gravity model of trade over the period of 1970 to 2013, in which...