High technology and innovation has become a central part of China's long-term growth strategy. The 2007 enterprise tax reform (EIT) significantly reduced the statutory tax rate of high-tech firms from 33 percent to at most 15 percent, and possibly less, guaranteed for at least 3 years. Before...

This paper compares the distribution between U.S. states of investment from countries that grant foreign tax credits with investment from all other countries. The ability to apply foreign tax credits against home-country tax liabilities reduces an investor's incentive to avoid high-tax foreign...

This paper examines the effects of state corporate income taxes on the location of foreign direct investment, taking into account the state governments' behavior when setting taxes. Ignoring the tax setting behavior of states may bias the estimate of the tax effects on foreign direct investment....