Escape clauses, where small firms are exempt from particular tax rules, is a crucial feature of a number of corporate tax schemes, but creates incentives to avoid taxation by manipulating the measures that determine inclusion. We evaluate the impact of thin capitalization rules, which commonly...

We exploit the 2017 US tax reform to learn about the tax-competitiveness of US multinational corporations (MNCs) relative to their international peers. Matching on the propensity score, we compare pairs of similar US and European firms listed on the S&P500 or StoxxEurope600 in a...

Managing multiple knowledge transfers between headquarters and subsidiaries, among subsidiaries, and also within each of these units is crucial for multinational corporations' (MNCs) survival. Therefore, this article aims to uncover the main factors influencing internal knowledge transfers in...

This paper studies how corporate tax hikes transmit across countries through multinationals' internal networks of subsidiaries. We build a parsimonious multicountry model to underscore two opposing spillover effects: While tax competition between countries generates positive investment...

To reduce engagement in corruption, firms are increasingly accountable for the behavior of their intermediaries. However, current anti-corruption efforts have not included those agents that arrange the initial meetings between foreign MNEs and potential local partners. We call these initial...

Private Country-by-Country Reporting (CbCR) is a measure against tax avoidance by large multinationals, implemented throughout the EU in 2016. Multinational companies with an annual revenue over € 750 million have been required to report their global activities on a country-by-country basis to...

New research shows a positive link between Outward FDI and domestic employment in USA local labor markets where investing companies are located. Job creation at home and abroad are complementary, especially in less developed regions. Investment Promotion Agencies should facilitate active...

We develop a dynamic general equilibrium framework with firm heterogeneity and monopsonistic labour markets, for quantification of the impact of trade and FDI liberalisation episodes. Firms make standard extensive margin investment choices into exporting and multinational statuses. The labour...

The purpose of this paper is to critically examine the multinational oil companies' corporate social responsibility (CSR) initiatives in Nigeria. Its special focus is to investigate the impact of the global memorandum of understanding (GMoU) on gender sensitive responses to climate change in oil...

This paper examines how experience from working in a foreign owned firm affects worker mobility. International experience can provide a worker with knowledge about foreign operations, thereby making them more attractive to other employers who are also engaged in international businesses. We...

In 2015, 196 Parties adopted the Paris Agreement to limit global warming to well below 2 degrees C compared to pre-industrial levels, and to achieve a low-carbon world by 2050. Revisions to international finance investment strategies are expected to be the mainstay of this ambitious objective....

We examine the effect of foreign direct investment (FDI) on local firms’ productivity via human capital transfer from multinational enterprises (MNEs) to local firms. Using the firm-level data for 2010–2015 from the Republic of Korea, we identify human capital spillovers using local firms’...

In this paper we construct a theory of financial market runs with heterogeneous investors. We use the model to investigate how exposure to liquidity shocks and risk taking for one investor impacts the behavior of the other type of investor. We show that investors who are not directly exposed to...