Article ID | Journal | Published Year | Pages | File Type |
---|---|---|---|---|
5054241 | Economic Modelling | 2014 | 5 Pages |
Abstract
This paper studies policy competition for foreign direct investment between host and home countries. Three results have been obtained. First, policy competition does not change the attractiveness of any country as a location for investment. Second, as a result, policy competition does not change regional welfare. Lastly, the equilibrium policy could be either a subsidy or a tax.
Related Topics
Social Sciences and Humanities
Economics, Econometrics and Finance
Economics and Econometrics
Authors
Weifeng Zhai,