FDI, taxes and agglomeration economies in the EU15
This paper provides an empirical analysis of the impact of tax differentials and agglomeration economies on foreign direct investment (FDI). The paper departs from most previous work on FDI and tax competition in a number of ways. First, it incorporates several measures of agglomeration in order to investigate whether agglomeration economies mitigate the downward spiral in tax rates. As the streng
