The ability of companies to move away from high-tax regimes helps curb the temptation of governments to milk corporations for all they’re worth

See The Misguided Philosophy of Tax and Spend. Letter to WSJ.

"In criticizing the 2017 tax cut, Janet Yellen calls the phenomenon of countries cutting corporate taxes “a global race to the bottom” (“A Better Corporate Tax for America,” op-ed, April 8). As a game theorist, I call that a global race to the top. In undergraduate economics classes we lay bare the deadweight loss caused by corporate tax. The ability of households and companies to move away from high-tax regimes, and nations’ resulting incentive to compete to attract and keep businesses, helps curb the temptation of governments to milk corporations for all they’re worth.

Associate Prof. Frances Lee

Loyola University, Chicago"