ECONOMICS:
A World of Opportunity

WATERLOO ECONOMICS SERIES

Abstracts of Working Papers January 2005 - December 2005

To view PDF files you will need an Acrobat pdf reader.
You can download Acrobat reader here free of charge.


#05-001 -- John Burbidge

"Tax Competition with Heterogeneous Firms"

(with Katherine Cuff and John Leach, McMaster University)


Abstract:

A model of tax competition in which firms earn rents is described. The size of these rents, coupled with the degree to which the firms are foreign-owned, determine the equilibrium tax rates. The existence of rents significantly alters some generally accepted results involving the possibility of a Pareto-improving common tax rate and the underprovision of publicly provided goods.

 


order a hard copy

University of Waterloo | Waterloo, Ontario Canada | N2L 3G1 |
519.888.4567 | June 14, 2010 | Webmaster |