Partisanship, Tax Policy, and Corporate Profit-Shifting in a Globalized World Economy
Bibliographic Data
| ID | 6246299 |
|---|---|
| Authors | Mi Jeong Shin (0000-0001-5982-2111, Shanghai University of Finance and Economics, corresponding author) |
| Year | 2017 |
| Volume | 50 |
| Issue | 14 |
| Pages | 1998-2026 |
| Publication date | 2017-12-01 |
| Open Access | Yes |
| Type | ARTICLE |
| Venue | Comparative Political Studies (JOURNAL) |
| Journal identifiers | ISSN: 0010-4140 • E-ISSN: 1552-3829 |
| Publisher | SAGE Publications Inc (PUBLISHER) |
| DOI | 10.1177/0010414016688007 |
| OpenAlex | W2586795348 |
| Language | EN |
| Citations received | 6 |
| References cited | 41 |
Political science scholarship has found mixed evidence on the impact of partisanship on the taxation of firms. In this article, I show that although left-leaning governments set tax rates at higher levels than right-leaning governments, the difference in the effective tax rates paid by firms is much less dramatic between left and right governments. I argue that left-leaning governments maintain high tax rates, a visible policy their constituency supports, while allowing firms to transfer profits abroad to minimize their tax burden (transfer pricing). Constituency costs hinder them from cutting tax rates to avoid backlash from voters, but they impose fewer restrictions on profit-shifting to attract investment by multinational firms for economic growth. Data covering 19 advanced economies between 2006 and 2009 support my theoretical expectation. My analyses suggest that the effect of government partisanship on corporate tax policy can be ambiguous when political parties consider various policy tools
Ad valorem tax · Complementarity (molecular biology · Corporate Tax · Economics · Indirect tax · Market economy · Microeconomics · Multinational corporation · Political science · Politics · Profit (economics · Public economics · Tax avoidance · Tax credit · Tax policy · Tax reform · Transfer pricing · Value-added tax · Corporate Taxation and Avoidance · Finance · Fiscal Policy and Economic Growth · Taxation and Compliance Studies
The Tax Models in Japan and Korea
Choosing a Lesser Evil
Globalisation, government partisanship, and labour strike intensity
Climbing to the Top? How Globalized Competition for Capital Affects Judicial Independence
Does Government Partisanship Influence Multinational Corporations’ Tax Payments in the United States
Why do countries change the taxation of foreign-source income of multinational firms
Data Analysis Using Regression and Multilevel/Hierarchical Models
Partisan Investment in the Global Economy
MCMCpack
Black hole tariffs and endogenous policy theory
Partisan Politics in the Global Economy
Global Capital, Political Institutions, and Policy Change in Developed Welfare States
The Oxford Handbook of Political Methodology
Buying National
Bayesian Factor Analysis for Mixed Ordinal and Continuous Responses
Origins and Consequences of Changes in U.S. Corporate Taxation, 1981-1998
Globalization and Capital Taxation in Consensus and Majoritarian Democracies
Globalization, Policy Constraints, and Vote Choice
Political Parties, Supply-Side Strategies, and Firms
Funding the Welfare State
Taxing choices
Why is There No Race to the Bottom in Capital Taxation
Domestic Institutions and the Taxing of Multinational Corporations1
Determining Trade Policy
Beyond Left and Right
Globalization, government spending and taxation in the OECD
Partisan Politics and Privatization in OECD Countries
Economic Growth Strategies
A Cross-National Analysis of Economic Voting
Political Partisanship and Welfare State Reform in Advanced Industrial Societies
The New Political Economy of Taxation in Advanced Capitalist Democracies
Globalization, labour power and partisan politics revisited
Remodeling the Competition for Capital
Optimal Obfuscation
New Politics and Class Politics in the Context of Austerity and Globalization
| Citations per year | 1 |
|---|---|
| Citation span | 2020 - 2026 (7) |
| Highly cited | No |