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Åsa Hansson. Photo.

Åsa Hansson

Associate professor

Åsa Hansson. Photo.

What determines tax incentives and how effective are they?

Author

  • Åsa Hansson
  • Susan Porter
  • Susan Williams

Summary, in English

This paper considers factors determining tax incentives and examines how effective they are using data from OCED and EU countries. It is well known that countries compete when it comes to setting the statutory corporate tax rate but do they also compete when it comes to providing tax incentives on the tax base side? The paper starts out by analyzing factors affecting different tax incentive measures and then moves on to analyze how effective different incentives are in attracting investments. We study several different tax incentives and find them to be ineffective in generating investments and, that, reductions of statutory corporate tax rates are a more efficient way to generate investments.

Department/s

  • Integration and Law
  • Centre for Economic Demography
  • Real Estate Science
  • Department of Economics

Publishing year

2018

Language

English

Publication/Series

Journal of Business and Economic Policy

Volume

5

Issue

4

Document type

Journal article

Publisher

Center for Promoting Ideas (CPI)

Topic

  • Economics

Status

Published

Research group

  • Integration and Law

ISBN/ISSN/Other

  • ISSN: 2375-0766