This paper studies corporate tax competition if it is costly to learn some of the elements that determine the effective tax burden. Search cost may, but need not, eliminate the tax competition pressure. The outcome depends on the boundaries of tax rate and tax base choices. Search cost can...

Elected representatives in many countries are legally allowed to carry out (un)paid jobs in addition to their political mandate, often referred to as moonlighting. Despite the important selection and incentive effects such outside positions might engender, academic studies evaluating the...

Considering several main types of dynamic contests (the race, the tug-of-war, elimination contests and iterated incumbency fights) we identify a common pattern: the discouragement effect. This effect explains why the sum of rentseeking efforts often falls considerably short of the prize that is...

We study the equilibrium effects of mergers between firms with brand portfolios and brand loyal customers for pricing and profitability. We find that the merger paradox (Salant, Switzer and Reynolds 1983) is absent in these markets. The acquisition of brand portfolios can be profit enhancing for...

Conventional wisdom holds that war casualties depress incumbent popularity. We argue that the strength and even the direction of these effects is inherently context-dependent because the perception of casualties varies over time and space, affected by historical developments. While intuitive,...

Politicians often implement popular changes in public policies prior to elections, with the aim of improving their Election Day outcome. This research note evaluates whether such electioneering carries over also into politicians' extra-parliamentary activities. Evidence from the UK House of...

Our experimental analysis of alliances in conflicts leads to three main findings. First, even in the absence of repeated interaction, direct contact or communication, free-riding among alliance members is far less pronounced than what would be expected from non-cooperative theory. Second, this...

This paper analyzes the relation between different forms of civic engagement and corruption. This first of all extends earlier analysis linking generalized trust to corruption by incorporating another element from the social capital complex (namely formal forms of civic engagement). Second,...

This paper studies the role of beliefs about own performance or appearance for compliance at the customs. In an experiment in which underreporting has a higher expected payoff than truthful reporting we find: a large share, about 15-20 percent of the subjects, is more compliant if they have...

Mit dem vorliegenden Arbeitspapier wird der auf Townsend zurückgehende relative Deprivationsansatz auf die Untersuchung von Lebensstandard und Armut in Deutschland angewendet. Es wird analysiert, welche Vorstellungen die Deutschen in Ost und West von einem angemessenen Lebensstandard haben und...