Immo Schott

TL;DR: This article analyzed the distortionary effects of loss offset provisions on investment and assessed the output loss implied by the misallocation of capital, showing that replacing the corporate income tax with a revenue-neutral value-added tax which equates tax rates across firms leads to a 13.9% increase in aggregate output.

TL;DR: In this paper, the interaction between capital reallocation and business cycles is studied using a simulated method of moments approach, different sources of aggregate fluctuations are studied to assess their ability to match both capital re-allocations and business cycle moments and a model economy driven by exogenous variations in the distribution of reallocations costs does remarkably well in matching these moments.

TL;DR: In this paper, a strong empirical connection between corporate taxation and the labor's share of income in the manufacturing sector across OECD countries was found, and it was shown that a drop in the corporate tax rate reduces the labor share by shifting the distribution of production towards capital intensive firms.

TL;DR: In this article , a strong empirical connection between corporate taxation and the manufacturing labor share was found, with 30 percent to 60 percent of the observed decline in labor shares associated with the fall in corporate taxation.