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Economic integration and redistributive taxation

Haufler, Andreas; Klemm, Alexander; Schjelderup, Guttorm
Working paper
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URI
http://hdl.handle.net/11250/163268
Date
2006-04
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  • Discussion papers (SAM) [578]
Abstract
We set up a simple political economy model where economic integration raises the

profitability of multinational firms. In this setting redistributive taxation may rise

following economic integration, if the effects of the widened income gap dominate the higher excess burden of the tax.
Publisher
Norwegian School of Economics and Business Administration. Department of Economics
Series
Discussion paper
2006:17

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