For a comprehensive study on behalf of the European Commission, a new methodology for computing effective tax burdens has been implemented and applied. This methodology, developed by Devereux and Griffith (DG-approach), extends the internationally accepted King-Fullerton-approach: With the DG-approach, further issues regarding the impact of taxation on corporate decision-making can be explored. The new methodology is closely connected with the European Tax Analyzer (ETA) developed by the ZEW and the University of Mannheim. The goals of this research project were twofold: First, we aimed to systematically explore the relation between the ETA model and the DG-approach. Both approaches have their advantages in different areas and thus complement each other. Second, we aimed to analyse different model tax systems (e.g., dual income tax, consumption based income tax) with a focus on their impact on location decisions of multinational corporations.

Selected Publications

Discussion and Working Papers

Lammersen, Lothar (2002), Investment Decisions and Tax Revenues Under an Allowance for Corporate Equity, ZEW Discussion Paper No. 02-47, Mannheim, LLL:citation.label.journal: Recht der Internationalen Wirtschaft 49 (2003), 938-945. Download

Schreiber, Ulrich, Christoph Spengel and Lothar Lammersen (2001), Effektive Steuerbelastungen bei Vorliegen ökonomischer Renten, ZEW Discussion Paper No. 01-26, Mannheim, LLL:citation.label.journal: Schmalenbach Business Review 54 (2002), 2-23. Download