Empirical asymmetries in foreign direct investment and taxation

• 成果类型: Article
• 署名作者: Mutti, J; Grubert, H
• 署名单位: Grinnell College; United States Department of the Treasury
• 刊物名称: JOURNAL OF INTERNATIONAL ECONOMICS
• ISSN/ISSBN: 0022-1996
• DOI: 10.1016/S0022-1996(03)00016-3
• 发表日期: 2004
• 页码: 337-358
• 关键词: foreign direct investment; Corporate income taxation

摘要

This paper assesses the sensitivity of the operations of multinational corporations (MNCs) to host country taxation. The empirical analysis is based on two different measures of MNC activity by U.S. majority-owned foreign affiliates: panel data for aggregate real gross product in manufacturing that originates in a given host country and micro data for a single year regarding the likelihood of a firm locating in a given host country. The empirical estimates indicate that investment geared toward export markets, rather than the domestic market, is particularly sensitive to host country taxation, that this sensitivity appears to be greater in developing countries than developed countries, and that it is becoming greater over time. (C) 2003 Published by Elsevier B.V.