Working Paper

Nexus, throwbacks, and the weighting game


Abstract: This paper modifies a model proposed by Anand and Sansing (2000) to explain why states have chosen different formulas for corporate income apportionment. I demonstrate that nexus assumptions and allocation rules can have significant effects on the outcomes of the model, and are important considerations in analyzing the impetus for and effects of apportionment competition.

Keywords: Corporations;

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Bibliographic Information

Provider: Federal Reserve Bank of Kansas City

Part of Series: Community Affairs Research Working Paper

Publication Date: 2004

Number: 2005-02