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The tax competition game revisited: When leadership may be optimal

Research output: Contribution to journalArticlepeer-review

Abstract

In this paper, we investigate the impact of leadership in a tax competition game. We show that leadership by a group of countries is pareto improving for each country (leaders and followers) compared to a Nash equilibrium outcome, In addition, a coalition of leaders is also pareto improving and this coalition is stable.

Original languageEnglish
Pages (from-to)51-62
Number of pages12
JournalEconomics Bulletin
Volume34
Issue number1
Publication statusPublished - 21 Feb 2014

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