Quadrini, Vincenzo;
Ríos-Rull, José-Víctor;
(2024)
International tax competition with rising intangible capital and financial globalization.
Journal of Monetary Economics
, 141
pp. 101-120.
10.1016/j.jmoneco.2023.10.013.
![[thumbnail of mainvqvrr.pdf]](https://discovery.ucl.ac.uk/style/images/fileicons/text.png) |
Text
mainvqvrr.pdf - Accepted Version Access restricted to UCL open access staff until 21 December 2025. Download (4MB) |
Abstract
The last three decades has witnessed: (a) a rise in the share of intangible capital, and (b) an increase in cross-country ownership of assets (financial globalization). We study the significance of these trends for international tax competition within a two-country model, where governments choose profit and income tax rates without committing to future policies and without international coordination. Higher share of intangible capital has led to lower profit taxes, while increased financial globalization higher profit taxation with the first effect being larger. The combined effects yield a 6% reduction in profit the tax rate and 0.55% gains in welfare (accounting for the transition).
| Type: | Article |
|---|---|
| Title: | International tax competition with rising intangible capital and financial globalization |
| DOI: | 10.1016/j.jmoneco.2023.10.013 |
| Publisher version: | https://doi.org/10.1016/j.jmoneco.2023.10.013 |
| Language: | English |
| Additional information: | This version is the author accepted manuscript. For information on re-use, please refer to the publisher's terms and conditions. |
| UCL classification: | UCL UCL > Provost and Vice Provost Offices > UCL SLASH UCL > Provost and Vice Provost Offices > UCL SLASH > Faculty of S&HS UCL > Provost and Vice Provost Offices > UCL SLASH > Faculty of S&HS > Dept of Economics |
| URI: | https://discovery.ucl.ac.uk/id/eprint/10213868 |
Archive Staff Only
 |
View Item |
