Discuss the Primary Purpose of Income Tax Treaties

question 117

Essay

Discuss the primary purpose of income tax treaties.

---

Definitions:

Capital Mobility

The ease with which capital or investments can move across borders in response to differences in return or risk, impacting global trade and investment decisions.

Common Labor Laws

Laws that regulate the legal obligations between employers and workers, including wages, working hours, safety, and rights to organize.

Free Trade Economists

Economists who advocate for the reduction of barriers to international trade, such as tariffs and quotas, to promote economic efficiency and consumer choice worldwide.

Trade Policy

A government's strategy and regulations regarding international trade, including tariffs, trade agreements, and import/export controls.