Christian Keuschnigg

University of St.Gallen, FGN-HSG
Varnbuelstrasse 19
CH-9000 St. Gallen
Tel: +41-71-224-3085
Fax: +41-71-224-2874

Institutional Affiliation: University of St.Gallen

NBER Working Papers and Publications

September 2012Corporate Taxes and Internal Borrowing within Multinational Firms
with Peter Egger, Valeria Merlo, Georg Wamser: w18415
This paper develops a theoretical model of multinational firms with an internal capital market. Main reasons for the emergence of such a market are tax avoidance through debt shifting and the existence of institutional weaknesses and financial frictions across host countries. The model serves to derive hypotheses regarding the role of local versus foreign characteristics such as profit tax rates, lack of institutional quality, financial underdevelopment, and productivity for internal debt at the level of a given foreign affiliate. The paper assesses hypotheses in a panel data-set covering the universe of German multinational firms and their internal borrowing. Numerous novel insights are gained. For instance, the tax-sensitivity found in this paper is many times higher than previous resear...

Published: Peter Egger & Christian Keuschnigg & Valeria Merlo & Georg Wamser, 2014. "Corporate Taxes and Internal Borrowing within Multinational Firms," American Economic Journal: Economic Policy, American Economic Association, vol. 6(2), pages 54-93, May. citation courtesy of

June 2012Corporate Taxes and Internal Borrowing within Multinational Firms
with Peter Egger, Valeria Merlo, Georg Wamser
in Business Taxation (Trans-Atlantic Public Economics Seminar), Michael Devereux and Roger Gordon, organizers
October 2000Tax Policy, Venture Capital, and Entrepreneurship
with Soren Bo Nielsen: w7976
The paper studies the effects of tax policy on venture capital activity. Entrepreneurs pursue a single high risk project each but have no own resources. Financiers provide equity finance. They must structure the entrepreneur's profit share and base salary to assure their incentives for full effort. In addition to providing equity finance, venture capitalists assist with valuable business advice to enhance survival rates. Within a general equilibrium framework with a traditional and an entrepreneurial sector, the paper investigates the effects of taxes on the equilibrium level of entrepreneurship and managerial advice. It considers dierential wage and capital income taxes, a comprehensive income tax, incomplete loss offset, progressive taxation as well as investment and output subsidies to...

Published: Keuschnigg, Christian and Soren Bo Nielsen. "Tax Policy, Venture Capital, And Entrepreneurship," Journal of Public Economics, 2003, v87(1,Jan), 185-203. citation courtesy of

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