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Estimating the Rivalness of State-Level Inward FDI

Brülhart, Marius and Schmidheiny, Kurt. (2015) Estimating the Rivalness of State-Level Inward FDI. Journal of Regional Science, 55 (1). pp. 139-148.

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Official URL: http://edoc.unibas.ch/42806/

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Abstract

We develop a method for estimating the rivalness of tax bases using the structures of the conditional logit, Poisson, and nested logit models. As an illustration, we apply this method to estimate the effect of state-level capital taxation on U.S. inward foreign direct investment (FDI). The assumption of perfect nonrivalness can in some cases be rejected, but the assumption of perfect rivalness cannot. Competition over FDI across U.S. states could well be a zero-sum game.
Faculties and Departments:06 Faculty of Business and Economics > Departement Wirtschaftswissenschaften > Quantitative Methoden > Angewandte Ökonometrie (Schmidheiny)
UniBasel Contributors:Schmidheiny, Kurt
Item Type:Article, refereed
Publisher:Wiley-Blackwell
ISSN:0022-4146
e-ISSN:1467-9787
Note:Publication type according to Uni Basel Research Database: Journal article
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Last Modified:21 Nov 2016 09:23
Deposited On:21 Nov 2016 09:23

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