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• W2069257852 abstract "This paper explores the welfare consequences of foreign investment taxation in a small open economy, based on the notion that the true productivity of imported capital may be unknown to policy-makers. It is shown that while asymmetric information between capital importers and the host government precludes the use of a productivity specific policy measure, an across-the-board policy suffers from the problem of adverse selection among capital imports of differential productivities. Conditions under which a reversal of the optimal foreign investment policy in the face of asymmetric information are examined." @default.
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• W2069257852 date "1999-09-01" @default.
• W2069257852 modified "2023-09-26" @default.
• W2069257852 title "Adverse selection, asymmetric information, and foreign investment policies" @default.
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• W2069257852 doi "https://doi.org/10.1016/s1059-0560(99)00031-3" @default.
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