Interjurisdictional Spillovers, Decentralized Policymaking, and the Elasticity of Capital Supply
指出资本供给弹性对分散经济中政策效率的关键作用：若资本供给固定，分散决策最优；若弹性为正，则资本税率会过低。
This paper points to the important role that the elasticity of aggregate capital supply with respect to the net rate of return to capital plays for the efficiency of policymaking in a decentralized economy with mobile capital and spillovers among jurisdictions. In accordance with previous studies, we show that under the assumption of a fixed capital supply (zero capital supply elasticity) the decentralized policy choice is optimal. If the capital supply elasticity is strictly positive, however, capital tax rates are inefficiently low in the decentralized equilibrium.