Agglomeration, tax competition, and fiscal equalization
Matthias Wrede ()
No 2009/5, Working Papers from Institut d'Economia de Barcelona (IEB)
This paper analyzes the impact of fiscal equalization on asymmetric tax competition when positive agglomeration externalities are present. It shows that equalization of standardized tax revenue improves the spatial allocation of capital provided that agglomeration externalities are sufficiently strong.
Keywords: Agglomeration; tax competition; fiscal equalization. (search for similar items in EconPapers)
JEL-codes: R12 H71 H73 (search for similar items in EconPapers)
Pages: 15 pages
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Journal Article: Agglomeration, tax competition, and fiscal equalization (2014)
Working Paper: Agglomeration, tax competition, and fiscal equalization (2008)
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Persistent link: https://EconPapers.repec.org/RePEc:ieb:wpaper:doc2009-5
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