B5 The arm’s length principle, transfer pricing, and location choicesB5 The arm’s length principle, transfer pricing, and location choices.docVIP

The arm’s length principle, transfer pricing, and location choices 在公平的原则，转让定价和位置的选择 Transfer price The arm’s length principle Tax Location choice 转让价格，该公平原则，税收，地点的选择 This paper examines the impacts of the arm’s length principle on tax revenues under endogenous location choices. The results show that the level of transfer price depends not only on taxation policies, but also on ?rms’ location choices. An imposition of the arm’s length principle on a multinational enterprise does not raise tax revenues under endogenous location choices. Such a result is in contrast to the common opinion of