Advanced Search
MyIDEAS: Login to save this paper or follow this series

What Do Immigrants Value Most About Switzerland? Evidence of the Relative Importance of Income Taxes

Contents:

Author Info

  • Mario Morger
Registered author(s):

    Abstract

    This study investigates whether migrants, once they have decided to move to Switzerland, prefer to settle in municipalities that feature low income taxes. In line with the existing literature, results from cluster-specific count data models indicate that income taxes are a significant pull factor for international migration decisions. The same is true with respect to intra-national migration. However, dominance analysis suggests that the relative impact of taxes compared to other locational factors is rather low. Urbanity characteristics, labor-market, and network effects are by far the most important factors to influence the choice of destination municipality.

    Download Info

    If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
    File URL: http://www.cesifo-group.de/portal/page/portal/DocBase_Content/WP/WP-CESifo_Working_Papers/wp-cesifo-2013/wp-cesifo-2013-02/cesifo1_wp4134.pdf
    Download Restriction: no

    Bibliographic Info

    Paper provided by CESifo Group Munich in its series CESifo Working Paper Series with number 4134.

    as in new window
    Length:
    Date of creation: 2013
    Date of revision:
    Handle: RePEc:ces:ceswps:_4134

    Contact details of provider:
    Postal: Poschingerstrasse 5, 81679 Munich
    Phone: +49 (89) 9224-0
    Fax: +49 (89) 985369
    Email:
    Web page: http://www.cesifo.de
    More information through EDIRC

    Related research

    Keywords: migration; tax competition; dominance analysis; relative importance;

    Find related papers by JEL classification:

    References

    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.:
    as in new window
    1. Beatrix Eugster & Raphaël Parchet, 2011. "Culture and Taxes: Towards Identifying Tax Competition," Cahiers de Recherches Economiques du Département d'Econométrie et d'Economie politique (DEEP) 11.05, Université de Lausanne, Faculté des HEC, DEEP.
    2. Schmidheiny, Kurt, 2003. "Income Segregation and Local Progressive Taxation: Empirical Evidence from Switzerland," HWWA Discussion Papers 248, Hamburg Institute of International Economics (HWWA).
    3. Marius BRÜLHART & Mario JAMETTI & Kurt SCHMIDHEINY, 2007. "Do Agglomeration Economies Reduce the Sensitivity of Firm Location to Tax Differentials?," Cahiers de Recherches Economiques du Département d'Econométrie et d'Economie politique (DEEP) 07.13, Université de Lausanne, Faculté des HEC, DEEP.
    4. Kirchgassner, Gebhard & Pommerehne, Werner W., 1996. "Tax harmonization and tax competition in the European Union: Lessons from Switzerland," Journal of Public Economics, Elsevier, vol. 60(3), pages 351-371, June.
    5. Kleven, Henrik & Landais, Camille & Saez, Emmanuel & Schultz, Esben, 2013. "Migration and Wage Effects of Taxing Top Earners: Evidence from the Foreigners' Tax Scheme in Denmark," CEPR Discussion Papers 9410, C.E.P.R. Discussion Papers.
    6. Wooldridge, Jeffrey M., 1999. "Distribution-free estimation of some nonlinear panel data models," Journal of Econometrics, Elsevier, vol. 90(1), pages 77-97, May.
    7. Wido Geis & Silke Uebelmesser & Martin Werding, 2008. "How do Migrants Choose their Destination Country? An Analysis of Institutional Determinants," CESifo Working Paper Series 2506, CESifo Group Munich.
    8. Thomas Liebig & Alfonso Sousa-Poza, 2006. "The influence of taxes on migration: evidence from Switzerland," Cambridge Journal of Economics, Oxford University Press, vol. 30(2), pages 235-252, March.
    9. Hatton, Timothy J. & Williamson, Jeffrey G., 2003. "What Fundamentals Drive World Migration?," Working Paper Series UNU-WIDER Research Paper , World Institute for Development Economic Research (UNU-WIDER).
    10. Donata Bessey, 2012. "International student migration to Germany," Empirical Economics, Springer, vol. 42(1), pages 345-361, February.
    11. Pedersen, Peder J. & Pytlikova, Mariola & Smith, Nina, 2008. "Selection and network effects--Migration flows into OECD countries 1990-2000," European Economic Review, Elsevier, vol. 52(7), pages 1160-1186, October.
    12. Henrik Jacobsen Kleven & Camille Landais & Emmanuel Saez, 2013. "Taxation and International Migration of Superstars: Evidence from the European Football Market," American Economic Review, American Economic Association, vol. 103(5), pages 1892-1924, August.
    13. Schaltegger, Christoph A. & Somogyi, Frank & Sturm, Jan-Egbert, 2011. "Tax competition and income sorting: Evidence from the Zurich metropolitan area," European Journal of Political Economy, Elsevier, vol. 27(3), pages 455-470, September.
    14. Liebig, Thomas & Puhani, Patrick A. & Sousa-Poza, Alfonso, 2006. "Taxation and Internal Migration: Evidence from the Swiss Census Using Community-Level Variation in Income Tax Rates," IZA Discussion Papers 2374, Institute for the Study of Labor (IZA).
    15. Klaus Nowotny, 2011. "Welfare Magnets, Taxation and the Location Decisions of Migrants to the EU," ERSA conference papers ersa11p133, European Regional Science Association.
    16. Vuong, Quang H, 1989. "Likelihood Ratio Tests for Model Selection and Non-nested Hypotheses," Econometrica, Econometric Society, vol. 57(2), pages 307-33, March.
    17. Peter Egger & Doina Maria Radulescu, 2009. "The Influence of Labour Taxes on the Migration of Skilled Workers," The World Economy, Wiley Blackwell, vol. 32(9), pages 1365-1379, 09.
    18. Paulo Guimar�es & Octávio Figueirdo & Douglas Woodward, 2003. "A Tractable Approach to the Firm Location Decision Problem," The Review of Economics and Statistics, MIT Press, vol. 85(1), pages 201-204, February.
    19. Charles M. Tiebout, 1956. "A Pure Theory of Local Expenditures," Journal of Political Economy, University of Chicago Press, vol. 64, pages 416.
    20. J Shen, 1999. "Modelling regional migration in China: estimation and decomposition," Environment and Planning A, Pion Ltd, London, vol. 31(7), pages 1223-1238, July.
    Full references (including those not matched with items on IDEAS)

    Citations

    Lists

    This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

    Statistics

    Access and download statistics

    Corrections

    When requesting a correction, please mention this item's handle: RePEc:ces:ceswps:_4134. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Julio Saavedra).

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If references are entirely missing, you can add them using this form.

    If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.