Article: Old rules and new realities: corporate tax policy in a global setting.

INTRODUCTION

Markets and economies evolve continuously, making yesterday's tax solutions possibly much less efficient or desirable today. Time also brings changes in our understanding of the impact, and wisdom, of different tax choices, again carrying the message that what might have seemed to work for yesterday may not be sensible today. A rapidly integrating world and a wave of recent scholarship on multinational firms combine to suggest that the mismatch between yesterday's tax policy and today's reality is particularly pronounced with respect to international taxation.

The rising economic importance of international transactions has put increasing ...

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