全球智库信息集成服务系统(G2TT): DP7054 Repeated electoral competition over non-linear income tax schedules

G2TT

来源类型	Discussion paper
规范类型	论文
来源ID	DP7054
	DP7054 Repeated electoral competition over non-linear income tax schedules
	Helmuth Cremer; Georges Casamatta; Philippe De Donder
发表日期	2008-11-17
出版年	2008
语种	英语
摘要	We embed a simple incomplete-contracts model of organization design in a standard two-country perfectly-competitive trade model to examine how the liberalization of product and factor markets affects the ownership structure of firms. In our model, managers decide whether or not to integrate their firms, trading off the pecuniary benefits of coordinating production decisions with the private benefits of operating in their preferred ways. The price of output is a crucial determinant of this choice, since it affects the size of the pecuniary benefits. In particular, non-integration is chosen at "low" and "high" prices, while integration occurs at moderate prices. Organizational choices also depend on the terms of trade in supplier markets, which affect the division of surplus between managers. We obtain three main results. First, even when firms do not relocate across countries, the price changes triggered by liberalization of product markets can lead to significant organizational restructuring within countries. Second, the removal of barriers to factor mobility can lead to inefficient reorganization and adversely affect consumers. Third, "deep integration" - the liberalization of both product and factor markets - leads to the convergence of organizational design across countries.
主题	Industrial Organization ; International Trade and Regional Economics
关键词	Contracts Firms Globalization
URL	https://cepr.org/publications/dp7054
来源智库	Centre for Economic Policy Research (United Kingdom)
资源类型	智库出版物
条目标识符	http://119.78.100.153/handle/2XGU8XDN/535891
推荐引用方式 GB/T 7714	Helmuth Cremer,Georges Casamatta,Philippe De Donder. DP7054 Repeated electoral competition over non-linear income tax schedules. 2008.