I don't yet have an opinion on mnc foreign earnings repatriation. Thoughts pro/anti?
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it needs to be a permanent fix, not one time deal, or the inversions will continue.
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lower tax rate to the discount rate co's apply to money in foreign shores. Anything else makes repatriation anti-investor
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1) Not sure which one this is, but we're caught in a typical coordination game much like the one facing US states trying to regulate.
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2) race to bottom on both tax rates and practical collection capacity - bribe the weakest state for the pareto firm-state deal.
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Basically, the free market for your firm's favorite tax regime drives prices down below median citizen preference for functional govt.
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The correct response is thus for global states set to collude in refusing to get this outcome via lucrative neighbor-beggar deals, but
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instead to form a united bargaining front, and put the screws to micro-states with no incentive to cooperate until they find one.
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