TY - BOOK ID - 85504704 TI - At A Cost: the Real Effects of Transfer Pricing Regulations AU - Mooij, Ruud A. AU - Liu, Li. PY - 2018 SN - 1484351533 1484351479 PB - Washington, D.C. : International Monetary Fund, DB - UniCat KW - Corporate Finance KW - Taxation KW - Corporate Taxation KW - International Taxation KW - Business Taxes and Subsidies KW - International Fiscal Issues KW - International Public Goods KW - Multinational Firms KW - International Business KW - Taxation, Subsidies, and Revenue: General KW - Public finance & taxation KW - Multinationals KW - Corporate & business tax KW - Transnational corporations KW - Transfer pricing rules KW - Corporate income tax KW - Transfer pricing KW - Thin capitalization rules KW - Economic sectors KW - Taxes KW - International business enterprises KW - Corporations KW - Double taxation KW - Bosnia and Herzegovina UR - https://www.unicat.be/uniCat?func=search&query=sysid:85504704 AB - Unilateral adoption of transfer pricing regulations may have a negative impact on real investment by multinational corporations (MNCs). This paper uses a quasi-experimental research design, exploiting unique panel data on domestic and multinational companies in 27 countries during 2006-2014, to find that MNC affiliates reduce their investment by over 11 percent following the introduction of transfer pricing regulations. There is no significant reduction in total investment by the MNC group, suggesting that these investments are most likely shifted to affiliates in other countries. The impact of transfer pricing regulations corresponds to an increase in the ``TPR-adjusted' corporate tax rate by almost one quarter. ER -