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Global production strategy under combined tax policy packages: The interplay between tax and super-deduction disparities
综合税收政策包下的全球生产战略:税收和超级扣除差异之间的相互作用
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其它 | Corporate income tax plays a pivotal role in shaping the global production strategies of multinational firms (MNFs). Policymakers in many countries often use such tools as the preferential tax arrangement and the super-deduction policy to attract MNFs’ production within their soil. This study investigates how the disparities in these two policies–tax and super-deduction disparities between home and foreign countries–interact and shape the production strategies of MNFs. Interestingly, we find that a lower tax rate in a foreign country does not always push MNFs to favor an Overseas Production Strategy; it becomes advantageous only when the tax disparity is either low or high. |
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