Politisches Risiko als Investitionsproblem und wirtschaftspolitische Implikationen

Steinrücken Torsten () and Jaenichen Sebastian ()
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Steinrücken Torsten: Thüringer Ministerium für Wirtschaft, Technologie und Arbeit, Max-Reger-Straße 4-8, 99096 Erfurt
Jaenichen Sebastian: Dipl.-Vw. Fachgebiet Finanzwissenschaft, Institut für Volkswirtschaftslehre, Technische Universität Ilmenau, PF 100565, D-98684 Ilmenau

Zeitschrift für Wirtschaftspolitik, 2006, vol. 55, issue 2, 230-244

Abstract: In this model-based contribution it will be shown, that creating overcapacities can be a rational business strategy for restricting political risks. Companies can establish capacities at several locations in order to create threatening possibilities for the case of a location raising its tax price. By threatening to remove the production, companies can avoid to become the victim of some locations′ tendency to extortion. In this contribution the question will be attended how such excess investments are to be assessed from an economic point of view. Further it will be asked which political instruments can be used by locations to signal a long-lasting stability of economic conditions to potential investors in a credible way.

Date: 2006
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DOI: 10.1515/zfwp-2006-0206

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