The Experts below are selected from a list of 37749 Experts worldwide ranked by ideXlab platform
Douglas Nigh - One of the best experts on this subject based on the ideXlab platform.
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the integration of subsidiary political activities in Multinational Corporations
Journal of International Business Studies, 2002Co-Authors: Timothy P Blumentritt, Douglas NighAbstract:Just as the competitive activities of MNC subsidiaries exhibit differentiation as well as integration, so might MNC political activities. This paper combines the literatures on international business-government interactions and on Multinational Corporations, with resource dependence theory as a foundation. We develop and test hypotheses on factors that might influence the degree to which subsidiary political activities are integrated with affiliated organizations. We find that subsidiary strategic integration and the economic integration of the host country significantly influence integration of subsidiary political activities.© 2002 JIBS. Journal of International Business Studies (2002) 33, 57–77
Jason M Smith - One of the best experts on this subject based on the ideXlab platform.
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taxes and leverage at Multinational Corporations
Journal of Financial Economics, 2016Co-Authors: Michael W Faulkender, Jason M SmithAbstract:Abstract Empirical research has struggled to show that variation in corporate capital structure arises from variation in estimated corporate income tax rates. We argue that, in previous studies, both the tax rates applied to Multinational Corporations and the taxable income earned have been mismeasured. Using the Bureau of Economic Analysis annual survey sample combined with each firm's income and country specific tax rate, we find that firms do have higher leverage ratios and lower interest coverage ratios when they operate in countries with higher tax rates, as theory would suggest. The trade-off theory of capital structure continues to have empirical support.
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taxes and leverage at Multinational Corporations
2014Co-Authors: Michael W Faulkender, Jason M SmithAbstract:Empirical research has struggled to document the variation in recent corporate capital structures as arising from variation in estimated corporate income tax rates. We argue that in previous studies, both the tax rates being applied to Multinational Corporations and the taxable income earned has been miss-measured, a result of firms operating in many foreign countries. Using a sample of Multinational firms collected in the Bureau of Economic Analysis’ annual survey combined with each firm’s respective income and country specific tax rate, we revisit this tax-leverage puzzle. Empirically we find that firms do have higher leverage ratios and lower interest coverage ratios when they operate in countries with higher tax rates, as theory would suggest. Our results demonstrate that the primary benefit of leverage under the trade-off theory of capital structure continues to have empirical support.
Jeanne Tienari - One of the best experts on this subject based on the ideXlab platform.
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A Discursive Perspective on Legitimation Strategies in Multinational Corporations
Academy of Management Review (The), 2008Co-Authors: Eero Vaara, Jeanne TienariAbstract:Few studies have examined legitimation in Multinational Corporations from a discursive perspective. To complement the existing institutional literature, we adopt a critical discourse analysis perspective that allows us to examine the microlevel processes of discursive legitimation. We provide an example of a media text - dealing with a production unit shutdown - to demonstrate how this perspective elucidates the various textual strategies used to legitimate Multinational Corporations' actions and their controversial consequences.
Sonja Olhoft Rego - One of the best experts on this subject based on the ideXlab platform.
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Tax Avoidance Activities of U.S. Multinational Corporations
Contemporary Accounting Research, 2003Co-Authors: Sonja Olhoft RegoAbstract:This paper investigates whether economies of scale exist for tax planning. In particular, do larger, more profitable, Multinational Corporations avoid more taxes than other firms, resulting in lower effective tax rates? While the empirical results indicate that, ceteris paribus, larger Corporations have higher effective tax rates, firms with greater pre†tax income have lower effective tax rates. The negative relation between effective tax rates (ETRs) and pretax income is consistent with firms with greater pre†tax income having more incentives and resources to engage in tax planning. Consistent with Multinational Corporations being able to avoid income taxes that domestic†only companies cannot, I find that Multinational Corporations in general, and Multinational Corporations with more extensive foreign operations, have lower worldwide ETRs than other firms. Finally, in a sample of Multinational Corporations only, I find that higher levels of U.S. pre†tax income are associated with lower U.S. and foreign ETRs, while higher levels of foreign pre†tax income are associated with higher U.S. and foreign ETRs. Thus, large amounts of foreign income are associated with higher corporate tax burdens. Overall, I find substantial evidence of economies of scale to tax planning.
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tax avoidance activities of u s Multinational Corporations
2002Co-Authors: Sonja Olhoft RegoAbstract:This paper investigates whether economies of scale and scope exist for tax planning. In particular, do Multinational Corporations avoid more taxes than U.S. domestic-only companies, resulting in lower effective tax rates? While the empirical results indicate that ceteris paribus, larger Corporations have higher effective tax rates, firms with greater pre-tax income have lower effective tax rates. The negative relation between ETRs and pre-tax income is consistent with firms with greater pre-tax income having more incentives and resources to engage in tax planning. Consistent with Multinational Corporations being able to avoid income taxes that domestic-only companies cannot, I find that Multinational Corporations with more extensive foreign operations have lower worldwide ETRs than other firms do. Finally, in a sample of Multinational Corporations only, I find that higher levels of U.S. pre-tax income are associated with lower U.S. and foreign ETRs, while higher levels of foreign pre-tax income are associated with higher U.S. and foreign ETRs. Thus, large amounts of foreign income are associated with higher corporate tax burdens. Overall, I find substantial evidence of economies of scale and scope to tax planning.
R. Glenn Hubbard - One of the best experts on this subject based on the ideXlab platform.
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Taxing Multinational Corporations - Taxing Multinational Corporations
1995Co-Authors: Martin Feldstein, James R. Hines, R. Glenn HubbardAbstract:In the increasingly global business environment of the 1990s, policymakers and executives of Multinational Corporations must make informed decisions based on a sound knowledge of U.S. and foreign tax policy. Written for a nontechnical audience, Taxing Multinational Corporations summarizes the up-to-the-minute research on the structure and effects of tax policies collected in The Effects of Taxation on Multinational Corporations. The book covers such practical issues as the impact of tax law on U.S. competitiveness, the volume and location of research and development spending, the extent of foreign direct investment, and the financial practices of Multinational companies. In ten succinct chapters, the book documents the channels through which tax policy in the United States and abroad affects plant and equipment investments, spending on research and development, the cost of debt and equity finance, and dividend repatriations by United States subsidiaries. It also discusses the impact of U.S. firms' outbound foreign investment on domestic and foreign economies. Especially useful to nonspecialists is an appendix that summarizes current United States rules for taxing international income.
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The Effects of Taxation on Multinational Corporations - The Effects of Taxation on Multinational Corporations
1995Co-Authors: Martin Feldstein, James R. Hines, R. Glenn HubbardAbstract:The tax rules of the United States and other countries have intended and unintended effects on the operations of Multinational Corporations, influencing everything from the formation and allocation of capital to competitive strategies. The growing importance of international business has led economists to reconsider whether current systems of taxing international income are viable in a world of significant capital market integration and global commercial competition. In an attempt to quantify the effect of tax policy on international investment choices, this volume presents in-depth analyses of the interaction of international tax rules and the investment decisions of Multinational enterprises. Ten papers assess the role played by Multinational firms and their investment in the U.S. economy and the design of international tax rules for Multinational investment; analyze channels through which international tax rules affect the costs of international business activities; and examine ways in which international tax rules affect financing decisions of Multinational firms. As a group, the papers demonstrate that international tax rules have significant effects on firms' investment and other financing decisions.
