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Public Procurement in the Presence of Capital Taxation

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Author Info
Weichenrieder, Alfons J.

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Abstract

The paper considers governments' public procurement decision as a way of influencing industry structure. In a federation in which capital is mobile and capital taxation is har monized, a home bias in public procurement can potentially be explained as an effort to increase the capital intensity of local production and to attract taxable capital. As a result, governments may prefer domestic firms to more efficient foreign firms.

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File URL: http://www.cesifo-group.de/DocCIDL/WP257.PDF
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Publisher Info
Paper provided by CESifo Group Munich in its series CESifo Working Paper Series with number CESifo Working Paper No. 257.

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Date of creation: 2000
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Handle: RePEc:ces:ceswps:_257

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Related research
Keywords: Procurement; tax competition; federalism;

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Find related papers by JEL classification:
H57 - Public Economics - - National Government Expenditures and Related Policies - - - Procurement
H77 - Public Economics - - State and Local Government; Intergovernmental Relations - - - Intergovernmental Relations; Federalism

References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:

  1. McAfee, R. Preston & McMillan, John, 1989. "Government procurement and international trade," Journal of International Economics, Elsevier, vol. 26(3-4), pages 291-308, May. [Downloadable!] (restricted)
  2. Turnovsky, Stephen J., 1988. "The gains from fiscal cooperation in the two-commodity real trade model," Journal of International Economics, Elsevier, vol. 25(1-2), pages 111-127, August. [Downloadable!] (restricted)
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  3. Kim, In-Gyu, 1994. "Price-preference vs. tariff policies in government procurement auctions," Economics Letters, Elsevier, vol. 45(2), pages 217-222, June. [Downloadable!] (restricted)
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Cited by:
(explanations, Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.)

  1. Brulhart, Marius & Trionfetti, Federico, 2001. "Public Expenditure and International Specialisation," Discussion Paper Series 26299, Hamburg Institute of International Economics. [Downloadable!]
    Other versions:
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This page was last updated on 2009-12-14.

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