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On the concept of locational competition

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  • Siebert, Horst
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    Abstract

    Locational competition means that the immobile factors of production in a country compete for internationally mobile capital and technology. Locational competition influences the restraint set of national players and redefines their opportunity costs. Thus, the bargaining position of the trade unions is affected. Also the manoeuvring space of government in terms of taxation and institutional arrangements is reduced. Governments are more or less forced into an economic policy (and institutional) benchmarking. A high degree of openness means that a country is exposed more to external changes. We therefore can expect that smaller countries will be the innovators in world wide institutional competition.

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    Bibliographic Info

    Paper provided by Kiel Institute for the World Economy in its series Kiel Working Papers with number 731.

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    Date of creation: 1996
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    Handle: RePEc:kie:kieliw:731

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    Cited by:
    1. Helmut Wagner & Wolfram Berger, 2003. "Financial Globalization and Monetary Policy," DNB Staff Reports (discontinued) 95, Netherlands Central Bank.
    2. Siebert, Horst, 1996. "Die Weltwirtschaft im Umbruch: müssen die Realeinkommen der Arbeitnehmer sinken?," Kiel Working Papers 744, Kiel Institute for the World Economy.
    3. Berthold, Norbert & Fricke, Holger & Kullas, Matthias, 2005. "Standortwettbewerb der Bundesländer," Wirtschaftswissenschaftliche Beiträge 80, Julius-Maximilians-Universität Würzburg, Lehrstuhl für Volkswirtschaftslehre, insbes. Wirtschaftsordnung und Sozialpolitik.
    4. Helmut Wagner & Wolfram Berger, 2004. "Globalization, Financial Volatility and Monetary Policy," Economic Change and Restructuring, Springer, vol. 31(2), pages 163-184, June.
    5. Berthold, Norbert & Fricke, Holger, 2009. "Die Bundesländer im Standortwettbewerb," Wirtschaftswissenschaftliche Beiträge 106, Julius-Maximilians-Universität Würzburg, Lehrstuhl für Volkswirtschaftslehre, insbes. Wirtschaftsordnung und Sozialpolitik.
    6. Helmut Wagner, 2001. "Implications of Globalization for Monetary Policy," IMF Working Papers 01/184, International Monetary Fund.
    7. Siebert, Horst, 1997. "Disziplinierung der nationalen Wirtschaftspolitik: durch die internationale Kapitalmobilität," Kiel Working Papers 832, Kiel Institute for the World Economy.
    8. Heinemann, Friedrich, 1998. "EMU and fiscal discipline: the end of the depreciation threat," ZEW Discussion Papers 98-30, ZEW - Zentrum für Europäische Wirtschaftsforschung / Center for European Economic Research.

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