During the 1970s, governments increasingly expressed concerns about the loss of revenue through the use of tax havens by both individuals and corporations. This article explores a covert international working group (the Group of Four) set up between France, Germany, the United Kingdom, and the...

This chapter reviews the literature providing empirical estimates on the tax elasticity of multinational profits and discusses the challenges faced when attempting to quantify tax-motivated profit shifting. We first use micro-level data to show that multinational corporations hold a...