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Less Tax in the East

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Author Info
Agnes Benassy-Quere
Delphine Prady

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Abstract

The tax cuts which have been introduced in most European countries in recent years have led to fears of tax competition which could worsen inequalities, weaken the quality of public infrastructure and public services, or lead public finances to be unsustainable. The enlargement of the European Union has deepened such concerns. Taxes in Eastern Europe are generally far lower than in the eu15, and these countries seem to have adopted a low-tax strategy for mobile tax bases, so that companies are taxed relatively little, often far less than their distance from “the heart of Europe” would justify.

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File URL: http://www.cepii.fr/anglaisgraph/publications/lettre/summary/2004/let232ang.htm
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Publisher Info
Article provided by CEPII research center in its journal La Lettre du CEPII.

Volume (Year): (2004)
Issue (Month): 232 (March)
Pages:
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Handle: RePEc:cii:cepill:2004-232

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Related research
Keywords: tax and budget policy; tax competition; tax harmonization; enlargement; FDI; investment;

Find related papers by JEL classification:
E62 - Macroeconomics and Monetary Economics - - Macroeconomic Policy, Macroeconomic Aspects of Public Finance, and General Outlook - - - Fiscal Policy
E63 - Macroeconomics and Monetary Economics - - Macroeconomic Policy, Macroeconomic Aspects of Public Finance, and General Outlook - - - Comparative or Joint Analysis of Fiscal and Monetary Policy; Stabilization
H87 - Public Economics - - Miscellaneous Issues - - - International Fiscal Issues; International Public Goods
F21 - International Economics - - International Factor Movements and International Business - - - International Investment; Long-Term Capital Movements

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This page was last updated on 2009-12-17.

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