Infrastructure Endowment Andcorporate Income Taxes Asrndeterminants Of Foreign Directrninvestment In Central And Easternrneuropean Countries

摘要

in infrastructure endowment needs to be funded mainly by non-corporate income taxes in the short run.rnOur analysis can be extended in several ways. First of all, the inclusion of infrastructure quality indicators should provide further insights into the role of infrastructure as a determinant of FDI and its impact on the tax-rate elasticity of real multinational activity. Furthermore, the inclusion of further interaction effects of infrastructure and other policy variables (e.g. the institutional environment, employment-protection legislation, education system) would allow for more informed policy advice to governments in CEECs beyond the public finance aspects raised here.