Within a framework of differentiated oligopolies, this paper studies how the tax incentive of a developing country on foreign direct investment (FDI) affects the structure of a specific domestic industry. Benefits from the tax incentive are analysed based upon the effects of the tax reduction on...

Chronic unemployment is a flaw in modern capitalism that calls for reform. Unlike expansionary demand‐management programmes, public works will be non‐inflationary if they put back into the economy in government spending no more than the dollar value taken from the economy in taxes. The...