Debate rages in both Canada and the United States over corporate tax rates. This article examines the debate in the context of the effects that the recent divergence of the rates in favour of Canada is having and the impact future changes may have. There are two key questions: (1) do lower Canadian rates draw more U.S. investment? and (2) do lower Canadian rates skew intercompany prices, resulting in greater profits in Canada?
Disponible en anglais seulement.