Lower barriers to entry and developments in world capital markets have increasedthe actual and potential mobility of multinational enterprises. This poses challengesfor host countries' tax policies. The paper examines implications for such policies, formultinantionals' investment decisions and...

We study the impact of product margins on pharmacies' incentive to promote generics instead of brand-names. First, we construct a theoretical model where pharmacies can persuade patients with a brand-name prescription to purchase a generic version instead. We show that pharmacies' substitution...