draining development.pdf - Khazar University

Index 527political economy model of, 77–78,85t, 87tTPM and, 244–49, 250, 254tax havens, 6, 13–14, 337–68benefits of, 356–57defined, 303–4n4defining, 339, 340–43development impact of, 338, 339,347–48, 357–58, 360–65, 361f,363f, 366economic and financial links betweendevelopment and, 357–65FSI, 339, 345–47, 365good governance in tax havens,importance of, 97n32governance, effects on, 97n32, 354–56international profit shifting,tax-induced, 122–24, 129–34literature survey, 339policy responses and future research,365, 490–91systemic financial risk from, 348–50tax information exchange agreementswith tax havens, 284tax systems, undermining, 350–54terminological and identificationissues, 296, 339, 340–47, 410n23,462–63OFCs, 341–42, 343–45, 463secrecy jurisdictions, 296, 342–43,345–47, 462–63TPM and, 208, 249, 276–77, 279,287f, 296–301, 298f, 300f, 302–3in typology of political jurisdictions.See under political economy ofIFFstax holidays, 213, 224–25, 470tax information exchange agreementswith tax havens, 284Tax Justice Network (TJN), 2, 5, 123,284, 296, 299, 345, 351, 353, 360,487tax morale, concept of, 92Tax Research LLP, 284Teko Trading, 402bTeraton, 444Thailandhuman trafficking in, 10, 198n6, 493as intermediate developer, 46, 47international profit shifting,tax-induced, 128TPM and, 223Thoumi, Francisco E., 10, 145, 159, 492Time Magazine, 435TJN (Tax Justice Network), 2, 5, 123,284, 296, 299, 345, 351, 353, 360,487Tomlin, Lord, 244Torgler, B., 93Torvik, R., 355TPM. See transfer pricing and transferprice manipulationtrade in goods and services dataregarding tax havens, 358–59trade mispricing, 11, 13, 309–32abnormal prices, defining, 324–26asymmetries in trade statistics and,309–15empirical analysis of, 326–29, 328t,330t, 331tintended misdeclaration of tradeactivities, 313–15legitimate statistical reasons for,312–13, 315, 316tas means of studying trademispricing, 317–22not equivalent to IFFs, 319–20not equivalent to trade mispricing,318–19defined, 309fictitious trade, 313–14IFFs, not equivalent to, 319Kar and Cartwright-Smith’sapproach to, 320–22misreported trade, 314–15motives for, 320