New microdata estimates of tax losses to offshore profit shifting:
US: 0.7% of GDP
S Africa: 0.01%
https://www.cgdev.org/blog/how-big-transfer-pricing-prize-development … via @MForstater
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Replying to @JustinSandefur @MForstater
This seems quite different from your estimates
@gabriel_zucman. Would love to learn your view.1 reply 0 retweets 0 likes -
I have roughly the same estimate for the US ($130 billion vs. $100bn). Don't think it's meaningful to divide by GDP, though.
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0.7 sounds like a lot to me, but another reason other than framing?
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Dividing by GDP doesn't make it possible to say whether big fraction of profits are shifted or big fraction of corp tax is avoided.
1 reply 1 retweet 2 likes
That's true. Different ratios illustrate different things. Doesn't make dividing by GDP non meaningful though.
11:50 AM - 18 Aug 2017
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