ABSTRACT
This paper investigates the role of tax havens and offshore financial centres (THOFC) in the global economy. Network analysis of 24 industry sectors suggests that THOFC feature prominently in knowledge-intensive activities such as pharmaceuticals, biotechnology and semiconductors, and are least significant in industrial activities such as automobiles and consumer durables, and place-bound activities such as real estate and retailing. Contrasting with the notion that most THOFC are ‘rogue’ offshore territories, the most significant are either continental nation-states or British territorial dependencies. It is concluded that global firm networks often mimic the geographies of taxation more than actual production or consumption activities.
ACKNOWLEDGEMENTS
The authors acknowledge Julia Loginova for assistance with the preparation of this manuscript.
DISCLOSURE STATEMENT
No potential conflict of interest was reported by the authors.
ORCID
Thomas Sigler http://orcid.org/0000-0002-7789-0916
Kirsten Martinus http://orcid.org/0000-0001-9727-7310
Iacopo Iacopini http://orcid.org/0001-8794-6410
Ben Derudder http://orcid.org/0000-0001-6195-8544