تحرک سرمایه، رقابت مالیات، و لابی برای توزیع مجدد مالیات بر سرمایه

This paper analyses the effects of international capital mobility on redistributive capital taxation and on lobbying activities by interest groups. A model is set up where unequally distributed endowments lead to a conflict between households concerning their most preferred capital tax rate. In a symmetric equilibrium, lobbying activities of all interest groups decline with the introduction of international capital mobility, and the welfare of all households increases.