Оглавление
Группа авторов. Global Goliaths
CONTENTS
ACKNOWLEDGMENTS
1. Multinational Activity in the Modern World
THE SCALE OF MULTINATIONAL ENTERPRISE
THE LOCATION AND NATURE OF MULTINATIONAL ACTIVITY
GROWTH OVER TIME
MULTINATIONALS AND LABOR
THE RISE OF SERVICES
INNOVATION
INTEGRATED OPERATIONS OF MULTINATIONAL FIRMS
FOREIGN PROFITABILITY OF MULTINATIONAL FIRMS
MULTINATIONAL FIRMS AND INTERNATIONAL TAXATION
THE PAST AND FUTURE OF MULTINATIONAL ACTIVITY
THE REMAINDER OF THE VOLUME
2. The Structure of Multinational Firms’ International Activities
STRUCTURAL ARCHETYPES AND PREDICTIONS
USING U.S. DATA TO DISTINGUISH STRUCTURES
FDI AND GLOBAL VALUE CHAINS
EVALUATING INTANGIBLE ASSETS AND OTHER SERVICE FLOWS
CONCLUSIONS
3. Multinational Firms’ Market Entry and Expansion, with Evidence from Eastern Europe
THE ROLE OF HOST COUNTRY CHARACTERISTICS
Recent Evidence from Eastern Europe
BILATERAL SOURCE AND HOST COUNTRY FACTORS
Eastern European Evidence
ENTRY AND OPERATING FRICTIONS
Eastern European Evidence
DISCUSSION AND CONCLUSION
DATA APPENDIX: EASTERN EUROPEAN ANALYSIS. Context
Data
Focus on Poland
Country Comparison
Variation across Affiliate Industries and Parent-Firm Region
Entry Mode
Summation
4. The International Market for Corporate Control
FACTS ABOUT CROSS-BORDER MERGERS AND ACQUISITIONS AROUND THE WORLD
DETERMINANTS OF CROSS-BORDER M&A
POST-ACQUISITION OUTCOMES
POLICY CONSIDERATIONS
CONCLUDING REMARKS
5. The Corporate Finance of Multinational Firms
CHARACTERISTICS OF MULTINATIONAL FIRMS
THE CAPITAL STRUCTURE OF MULTINATIONAL FIRMS. Capital Structure of U.S. Multinationals
Capital Structures of Non-U.S. Multinational Firms
CAPITAL RAISING BY MULTINATIONAL FIRMS. Where Do Multinationals Get Financing?
Debt Financing
Equity Financing
Why Multinational Firms Have a Financing Advantage
Estimates of the Multinationals’ Cost of Finance
The Cost of Equity
RISK PROFILES
Country Risk
Foreign Exchange Risk
SUMMARY
6. Do Multinational Firms Export Jobs?
WHAT, WHERE, WHY, AND HOW DO FIRMS OFFSHORE?
CHANGES IN OFFSHORING OVER TIME
THE ROLE OF CONTRACTING AND ARM’S-LENGTH OFFSHORING
FIRM-LEVEL OFFSHORING DECISIONS
EFFECTS OF OFFSHORING ON DOMESTIC WORKERS
Using Trade Adjustment Assistance Data to Identify and Assist Displaced Workers
Are Foreign Workers Substitutes for U.S. Workers?
Quantifying the Negative Effects of Offshoring
Quantifying the Positive Effects of Offshoring
Who Wins and Loses?
EFFECTS OF FOREIGN MNEs ON DOMESTIC WORKERS
SUMMARY: WHAT PROPOSITIONS ON OFFSHORING ARE SUPPORTED BY RESEARCH?
CONCLUSIONS
7. Do Multinational Corporations Exploit Foreign Workers?
DEFINITIONS OF EXPLOITATION
Market-based or Consequentialist Arguments
Fair Share of the Surplus
Deontological or Human Rights Approaches
MNC EFFECTS ON WAGES
MNC Wages in Developing Countries
MNC Wages in Developed Countries
MNCs AND FAIR SHARING OF SURPLUS
Sharing Surplus with MNC Employees and Their Suppliers
MNCs’ Effects on Labor Markets in Poor Nations
THE EFFECT OF MNC OFFSHORING ON DOMESTIC WAGES
How Prevalent Is Offshoring?
Mechanisms
Worker Displacement
Changes in Factor Intensity
Labor Market and Supply Chain Effects
Is Offshoring Exploitation?
DO MNCS EXPLOIT WORKERS BY DENYING THEM BASIC RIGHTS?
Forced Labor and Working Hours
Freedom of Association and Right to Organize
Child Labor
Health and Safety
Discrimination and Treatment of Women
Discrimination and Treatment of Migrant Workers
Enforcement of Standards and Intention to Exploit?
CONCLUSION
Some Limitations
Implications
8. The New Global Invention Machine
R&D GLOBALIZATION AS A RESPONSE TO THE GLOBAL PRODUCTIVITY SLOWDOWN
DATA FOR MEASURING THE GLOBALIZATION OF R&D
DATA SHOW A SIGNIFICANT RISE IN OVERSEAS R&D CONDUCTED BY U.S. MNCs
THE CHANGING FOOTPRINT OF U.S. MNCs’ OVERSEAS R&D
U.S. PATENTS REVEAL RAPID GROWTH IN CROSS-BORDER R&D COLLABORATION
THE GROWING SOFTWARE AND IT INTENSITY OF U.S. MNC INVENTION
A TALE OF THREE NEW R&D HUBS
A Passage to India
Israel, the (R&D) Promised Land
China: Enter the Dragon
R&D GLOBALIZATION, COMPARATIVE ADVANTAGE, AND THE ROLE OF NON-U.S. MNCs
POLICY CHALLENGES TO THE GLOBAL INNOVATION SYSTEM
9. Multinationals in the Digital Economy
THE DIGITAL REVOLUTION AND MULTINATIONALS
CORE DIGITAL MULTINATIONALS
FACTORS CAUSING THE RISE AND PERSISTENCE OF DIGITAL MULTINATIONALS
FACTORS LIMITING DIGITAL MULTINATIONALS
LABOR AND TRADE
REGULATION
TAX
INNOVATION AND VALUE
LOOKING AHEAD
10. Tax Avoidance and Multinational Firm Behavior
DO MULTINATIONAL FIRMS PAY TAXES?
CORPORATE TAX PLANNING AND AVOIDANCE
What Is Corporate Tax Planning?
What Is Corporate Income Tax Avoidance?
Estimating Corporate Tax Avoidance
Trends in Tax Avoidance
CHARACTERISTICS AND FACTORS ASSOCIATED WITH TAX AVOIDANCE
HOW DO FIRMS AVOID TAXES?
Tax Avoidance via Provisions in the Tax Code
Tax Avoidance via “Tax Shelters”
Tax Avoidance via Income Shifting
Estimating income shifting using macroeconomic data
Estimating Income Shifting Using Microeconomic Data
Summary of Income Shifting Literature
Tax Avoidance via Location Decisions Regarding Investment, Incorporation, and Debt
CONSEQUENCES OF TAX AVOIDANCE
Consequences: Lost Revenues
Consequences: Pre-TCJA “Trapped Cash” and Its Effect on Corporate Capital Structure, Payout Policy, and Investment
Effect of “Trapped Cash” on Capital Structure and Payout Policy
Effect of “Trapped Cash” on Investment
Consequences: Employment
Consequences: Transparency and Shareholder Value
WHY NOT? WHAT ARE THE CONSTRAINTS ON TAX AVOIDANCE?
EARLY EVIDENCE ON BEPS AND TCJA
INDIRECT TAXES
CONCLUSIONS
11. Do Multinational Firms Use Tax Havens to the Detriment of Non-Haven Countries?
MNCs’ TAX-HAVEN ACTIVITY. An Overview of MNC Activity in Tax Havens
Tax Avoidance and Other Motivations for MNCs’ Tax-Haven Activity
Tax Havens and Secrecy
TAX HAVENS AND THE WELFARE OF NON-HAVEN COUNTRIES
Controlled Foreign Corporation (CFC) Rules
Thin Capitalization Rules (TCRs)
The Global Strengthening of Rules against Profit Shifting to Havens
Why Are Rules against Profit Shifting Not Used (Even) More Extensively?
Does MNC Haven Activity Benefit Non-Havens?
HOW MUCH MNC PROFIT IS SHIFTED TO TAX HAVENS? Estimates of the Magnitude of Profit Shifting
Micro versus Macro Approaches and the Conceptualization of Profit Shifting
CONCLUSION
12. Multinational Corporations and Their Influence through Lobbying on Foreign Policy
THE POLITICAL INFLUENCE OF MULTINATIONAL CORPORATIONS
Firm-Level Heterogeneity and the Policy Preferences of MNCs
Channels of Political Influence
Scale Effect
Regulatory Granularity
Influence over Host Countries and International Institutions
DATA
Measuring Multinationality
Measuring Lobbying Activities
EMPIRICAL RESULTS
Differences Between MNCs and Domestic Firms
Matching Analysis
CONCLUSION
13. Principles for Policymakers
PRINCIPLE 1: Governments should avoid erecting barriers to realizing benefits that multinational corporations offer modern economies. They should avoid tariffs, punitive regulations, and taxes directed at foreigners, and other restrictions on the movement of goods, people, investment, and data across borders
PRINCIPLE 2: Governments and multinational corporations should adopt policies and practices that ensure that all segments of society benefit from the activities of multinational corporations and from globalization more generally
PRINCIPLE 3: Governments should cooperate to formulate consistent, cohesive policy frameworks because what happens in one place influences what happens elsewhere. These policy frameworks should respect the right of sovereign nations to reflect the preferences and needs of their people
PRINCIPLE 4: Innovation is an important contributor to prosperity, so governments should pursue policies that encourage multinational corporations to pursue innovations and share the benefits with the world
PRINCIPLE 5: Governments should forge consensus on principles governing the taxation of multinational corporations
PRINCIPLE 6: Governments should invest in collecting more and better data about the activities of multinational corporations
CONCLUSION
CONTRIBUTORS
INDEX
