On The Efficiency Of Fiscal Competition For Fdi When Incumbent Firms Are Foreign-Owned
We show that the international distribution of ownership of the incumbent firms within a host region matters for the efficiency of the fiscal competition between the region’s constituent countries for a new FDI project. If incumbent firms are owned entirely within the host region, then the new plant’s location will be efficient. However, when incumbent firms are owned outside the host region and the degree of such extra-regional ownership varies substantially across the competing host countries – as it does in the data – then inefficient locations might win contests for new plants.
|Date of creation:||May 2014|
|Date of revision:||May 2014|
|Contact details of provider:|| Postal: Loughborough, Leicestershire, LE11 3TU|
Phone: +44 (0) 1509 222701
Fax: +44 (0) 1509 223910
Web page: http://www.lboro.ac.uk/departments/sbe/research/centres/cfge/index.html
More information through EDIRC
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.:
- Ben Ferrett & Ian Wooton, 2010.
"Tax competition and the international distribution of firm ownership: an invariance result,"
International Tax and Public Finance,
Springer, vol. 17(5), pages 518-531, October.
- Ferrett, Ben & Wooton, Ian, 2006. "Tax Competition and the International Distribution of Firm Ownership: An Invariance Result," CEPR Discussion Papers 5984, C.E.P.R. Discussion Papers.
- Holger Görg & David Greenaway, 2004.
"Much Ado about Nothing? Do Domestic Firms Really Benefit from Foreign Direct Investment?,"
World Bank Research Observer,
World Bank Group, vol. 19(2), pages 171-197.
- Görg, Holger & Greenaway, David, 2003. "Much Ado About Nothing? Do Domestic Firms Really Benefit from Foreign Direct Investment?," IZA Discussion Papers 944, Institute for the Study of Labor (IZA).
- Bjorvatn, Kjetil & Eckel, Carsten, 2006.
"Policy competition for foreign direct investment between asymmetric countries,"
Munich Reprints in Economics
20270, University of Munich, Department of Economics.
- Bjorvatn, Kjetil & Eckel, Carsten, 2006. "Policy competition for foreign direct investment between asymmetric countries," European Economic Review, Elsevier, vol. 50(7), pages 1891-1907, October.
- Fumagalli, Chiara, 2003. "On the welfare effects of competition for foreign direct investments," European Economic Review, Elsevier, vol. 47(6), pages 963-983, December.
When requesting a correction, please mention this item's handle: RePEc:lbo:lbcfge:2014_01. 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: (Arijit Mukherjee)
If references are entirely missing, you can add them using this form.