Bitte verwenden Sie diesen Link, um diese Publikation zu zitieren, oder auf sie als Internetquelle zu verweisen: https://hdl.handle.net/10419/104260 
Erscheinungsjahr: 
2008
Schriftenreihe/Nr.: 
Munich Discussion Paper No. 2008-10
Verlag: 
Ludwig-Maximilians-Universität München, Volkswirtschaftliche Fakultät, München
Zusammenfassung: 
This paper analyses tax competition between a unionised and a non-unionised country for the location of an outside firm. We show that unionisation offers an extra incentive for the government to attract a foreign competitor to a concentrated domestic market, in order to affect the behaviour of the domestic union. This results in the unionised country's government offering a tax discount (or a subsidy premium) to the outside firm in excess of what is needed to compensate the investor for the higher union wage. In equilibrium, therefore, the unionised country can attract the outside firm even if it has other location disadvantages, such as a smaller home market.
Schlagwörter: 
tax competition
trade unions
foreign direct investment
JEL: 
H25
H73
J58
Persistent Identifier der Erstveröffentlichung: 
Dokumentart: 
Working Paper

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