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• W2897811725 abstract "Recent theoretical work in economic geography has shown that agglomeration forces can mitigate ‘race-to-the-bottom’ tax competition, by partly or fully osetting rms’ sensitivity to tax dierentials. We test this proposition using data on rm births across Swiss municipalities. We nd that corporate taxes deter rm births less in more spatially concentrated sectors. Firms in sectors with an agglomeration intensity in the top quintile are less than half as responsive to dierences in corporate tax burdens as rms in sectors with an agglomeration intensity in the bottom quintile. Hence, agglomeration economies do appear to attenuate the impact of tax dierentials on rms’ location choices. Forthcoming in the Economic Journal." @default.
• W2897811725 created "2018-10-26" @default.
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• W2897811725 date "2011-01-01" @default.
• W2897811725 modified "2023-09-27" @default.
• W2897811725 title "Do Agglomeration Economies Reduce the Sensitivity of Firm Location to Tax Dierentials? Short Title: Agglomeration, Taxes and Firm Location" @default.
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