Suchergebnisse

Migration of intangible assets from the United States to foreign countries has become easier due to the ability of U.S. firms to create hybrid entities in their affiliates abroad and to reach favorable cost sharing agreements with them. This strategy was particularly encouraged by the U.S. adoption of "check-the-box" regulations in 1997. Rather than receive royalties from affiliates abroad, US parent firms have an incentive to retain abroad in low-tax countries a greater share of the return to their US R&D. Evidence from several sources for years that span the 1997 policy change indicate a significant response by US corporations in utilizing this strategy. BEA data indicate affiliate earnings and profits grew more rapidly than royalty payments to US parents. Payments to U.S. parents for technical services rose even faster, as would be called for under cost sharing agreements. Regression analysis of affiliate data shows that parent R&D was a more important determinant of royalty payments to U.S. parents than it was for affiliate earnings and profits in 1996, but by 2002 it played a larger role in earnings and profits than in royalties. Cost sharing payments from affiliates in Ireland and from pure tax havens (Bermuda, the Cayman Islands, and Luxembourg) are particularly significant, both economically and statistically.

This article examines the effect of increased coal production on the food stamp program in Kentucky's coal producing counties. The linkages between coal production and employment and the food stamp program were analyzed using a two-step economic model. Changes in employment in eastern Kentucky coal producing counties were more closely tied to coal output than in western Kentucky. Thus, reductions in the number ofrecipients and food stamp expenditures were greater in the East. Projections from 1973-1976 data suggest that any future coal related growth may lead to a reduction in food stamp payments wherever production methods are more labor intensive; however, it appears that welfare recipients in coal producing regions may well be worse off as a result of economic growth stimulated by a coal boom.

An attempt is made to model some consequences of an increase in illegal immigration into the southwestern US for domestic income distribution, on the basis of formal economic theory. Legal domestic workers who compete directly for employment with incoming illegal aliens suffer a decline in their wage rate. The effects of immigration on rewards to other LF members & to owners of capital are ambiguous. However, if the reward to capital owners rises, the wage rate paid to LF members not directly competing with illegal alien workers falls, & conversely. This explains the opposed positions of employer & employee groups on proposals to further limit illegal immigration. The effect of increased illegal immigration on overall domestic welfare are also examined. If negative externalities, such as might arise through increased congestion of public service consumers, are small, then illegal immigration will have a positive welfare effect on the US. 2 Figures. Author Conclusion.

The fully revised and extensively updated seventh edition has a two-colour internal design, is supported by an extensive online resource and offers three brand new chapters on Exchange Rate Dynamics, Financial Crises and European Monetary Integration