Entrepreneurship, firm entry, and the taxation of corporate income: Evidence from Europe

Journal of Public Economics

Volumn 95, Issue 9-10, 2011, Pages 1048-1066

  Da Rin, Marco ^a   Di Giacomo, Marina ^b   Sembenelli, Alessandro ^b,c  

^a TILBURG UNIVERSITY   (Netherlands)

^b UNIVERSITY OF TURIN   (Italy)

^c Collegio Carlo Alberto ^*  (Italy)

Author keywords

Corporate income taxation; Entrepreneurship; Entry regulation; Firm entry; Incorporation; Panel data; Political economy

Indexed keywords

EID: 79961027957     PISSN: 00472727     EISSN: None     Source Type: Journal    
DOI: 10.1016/j.jpubeco.2010.06.010     Document Type: Article

References (50)

1. Aghion Philippe, Howitt Peter A model of growth through creative destruction. Econometrica 1992, 60(2):323-351.
2. Aghion Philippe, Howitt Peter Joseph Schumpeter lecture: appropriate growth policy: a unifying framework. Journal of the European Economic Association 2006, 4(2-3):269-314.
3. Aghion Philippe, Blundell Richard, Griffith Rachel, Howitt Peter, Prantl Susanne The effects of entry on incumbent innovation and productivity. Review of Economics and Statistics 2009, 91(1):20-32.
4. Alesina Alberto, Ardagna Silvia, Nicoletti Giuseppe, Schiantarelli Fabio Regulation and investment. Journal of the European Economic Association 2005, 3(4):791-825.
5. Appelbaum Elie, Katz Eliakim Corporate taxation, incumbency advantage and entry. European Economic Review 1996, 40:1817-1828.
6. Barrios Salvador, Huizinga Harry, Laeven Luc, Nicodème Gaëtan International taxation and multinational firm location decisions. CEPR Discussion Paper 7047 2008.
7. Baum Christopher, Schaffer Mark, Stillman Steven Enhanced routines for instrumental variables/GMM estimation and testing. STATA Journal 2007, 7(4):465-506.
8. Beach William, Kane Tim Methodology: Measuring the 10 Economic Freedoms available at:. http://www.heritage.org.
9. Beck Thorsten, Clarke George, Groff Alberto, Keefer Philip, Walsh Patrick New tools in comparative political economy: the database of political institutions. World Bank Economic Review 2001, 15(1):165-176.
10. Bénassy-Quéré Agnès, Fontagné Lionel, Lahrèche-Révil Amina How does FDI react to corporate taxation?. International Tax and Public Finance 2005, 12:583-603.
11. Bertrand Marianne, Kramarz Francis Does entry regulation hinder job creation? Evidence from the French retail industry. The Quarterly Journal of Economics 2002, 117(4):1369-1413.
12. Bertrand Marianne, Schoar Antoinette, Thesmar David Banking deregulation and industry structure: evidence from the French banking reforms of 1985. Journal of Finance 2007, 57(2):597-628.
13. Besley Timothy Commodity taxation and imperfect competition. Journal of Public Economics 1989, 40:359-367.
14. Cabral Luís, Mata José On the evolution of the firm size distribution: facts and theory. American Economic Review 2003, 93(4):1075-1090.
15. Ciccone Antonio, Papaioannou Elias Red tape and delayed entry. Journal of the European Economic Association 2007, 5(2-3):444-458.
16. Cragg John, Donald Stephen Testing identifiability and specification in instrumental variables models. Econometric Theory 1993, 9:222-240.
17. Cullen Julie, Gordon Roger Taxes and entrepreneurial activity: theory and evidence for the U.S. Journal of Public Economics 2007, 91(7-8):1479-1505.
18. Da Rin Marco, Nicondano Giovanna, Sembenelli Alessandro Public policy and the creation of active venture capital markets. Journal of Public Economics 2005, 80(8-9):1699-1723.
19. Da Rin Marco, Di Giacomo Marina, Sembenelli Alessandro Corporate taxation and the size of new firms: evidence from Europe. Journal of the European Economic Association 2010, 8(2-3):606-616.
20. Demirgüç-Kunt Asli, Love Inessa, Maksimovic Vojislav Business environment and the incorporation decision. Journal of Banking and Finance 2006, 30(5):2967-2993.
21. Desai Mihir, Gompers Paul, Lerner Josh Institutions, capital constraints and entrepreneurial firm dynamics: evidence from Europe. NBER Working Paper 10165 2003.
22. Devereux Michael, Griffith Rachel Taxes and the location of production: evidence from a panel of US multinationals. Journal of Public Economics 1998, 68(1):335-367.
23. Devereux Michael, Griffith Rachel The taxation of discrete investment choices. IFS Working Paper N. 98/16 1998.
24. Devereux Michael, Griffith Rachel Evaluating tax policy for location decision. International Tax and Public Finance 2003, 10:107-126.
25. Devereux Michel, Griffith Rachel, Klemm Alexander Corporate income tax reforms and international tax competition. Economic Policy 2002, 35:451-495.
26. Djankov Simeon, Laporta Rafael, Lopez-de-Silanes Florencio, Shleifer Andrei The regulation of entry. Quarterly Journal of Economics 2002, 117(1):1-37.
27. Djankov, Simeon, Ganser, Tim, McLiesh, Caralee, Ramalho, Rita, Shleifer, Andrei, 2010. The effect of corporate taxes on investment and entrepreneurship. American Economic Journal 2 (3), 31-64.
28. Egger Peter, Keuschnigg Christian, Winner Hannes Incorporation and taxation: theory and firm-level evidence. CES-Ifo Working Paper 2685 2009.
29. European Commission Company taxation in the internal market. European Commission Staff Working Paper COM(2001)582 2001.
30. Gentry William, Hubbard Glenn Tax Policy and Entry into Entrepreneurship 2004, mimeo, Columbia University.
31. Georgellis Yannis, Wall Howard Entrepreneurship and the policy environment. Federal Reserve Bank of St. Louis Review 2006, 88(2):95-111.
32. Griffith Rachel, Harrison Rupert, Macartney Gareth Product market reforms, labour market institutions and unemployment. The Economic Journal 2007, 117(519):C142-C166.
33. Hause John, du Rietz Gunnar Entry, industry growth, and the microdynamics of industry supply. Journal of Political Economy 1984, 92:733-757.
34. King Mervyn, Fullerton Don The Taxation of Income from Capital 1984, University of Chicago Press, Chicago.
35. Klapper Leora, Laeven Luc, Rajan Raghuram Entry regulation as a barrier to entrepreneurship. Journal of Financial Economics 2006, 82(3):591-629.
36. Kleibergen Frank, Paap Richard Generalized reduced rank tests using the singular value decomposition. Journal of Econometrics 2006, 127(1):97-126.
37. LaPorta Rafael, Lopez-de-Silanes Florencio, Shleifer Andrei, Vishny Robert Law and finance. Journal of Political Economy 1998, 106(6):1133-1155.
38. MacKie-Mason Jeffrey, Gordon Roger How much do taxes discourage incorporation?. Journal of Finance 1997, 52(2):477-505.
39. Milesi-Ferretti Gian Maria, Perotti Roberto, Rostagno Massimo Electoral systems and public spending. Quarterly Journal of Economics 2002, 117(2):609-657.
40. Nicoletti Giuseppe, Scarpetta Stefano Regulation, productivity and growth: OECD evidence. Economic Policy 2003, 18(36):9-72.
41. Pagano Marco, Volpin Paolo The political economy of corporate governance. American Economic Review 2005, 95(4):1005-1030.
42. Perotti Enrico, Volpin Paolo Investor protection and entry. Tinbergen Institute Discussion Papers 07-006/2, Tinbergen Institute 2007.
43. Persson Torsten, Tabellini Guido Constitutional rules and fiscal policy outcomes. American Economic Review 2004, 94(1):25-45.
44. Romer Paul New goods, old theory, and the welfare cost of trade restrictions. Journal of Development Economics 1994, 43(1):5-38.
45. Schumpeter Joseph [1942]) Capitalism, Socialism, and Democracy 1975, NY Harper, New York.
46. Schumpeter Joseph [1911]) The Theory of Economic Development 1982, Transition Books, Edison, NJ.
47. Slemrod Joel Are corporate tax rates, or countries, converging?. Journal of Public Economics 2004, 88(6):1169-1186.
48. Stock James, Yogo Motohiro Testing instruments in linear IV regressions. Identification and Inference for Econometric Models: Essays in Honor of Thomas Rothemberg 2005, Cambridge University Press, Cambridge. D.W. Andrews, J. Stock (Eds.).
49. Wooldridge, Jeffrey (2006), 'Cluster-sample Methods in Applied Econometrics: An Extended Analysis,' mimeo, Michigan State University.
50. Yoo, Kwang-Yeol, 2003. Corporate taxation of foreign direct investment income 1991-2001. OECD Economics Department Working Papers 365.