The global system that you have been discussing for years has become necessary because of the remarkable reduction in corporate taxation in Western states. In France, from 50% in 1986 to 25% today. How is this phenomenon explained?

This decline is a result of globalization, financialization and liberalization of the economy in the 1980s and 1990s. It happened in several stages. Initially, with the gradual removal of barriers to the movement of goods, people and, above all, capital, companies could invest anywhere in the world, close a factory in one country and open another. It also allowed them to separate their operations for tax reasons. However, intangible assets such as patents and ownership of a brand or design are relatively easy to transfer to a tax haven.

Consulting firm McKinsey has not paid corporate tax in France for ten years

For example, a company could easily register its mark in Bermuda, where the profits associated with the use of the mark would be concentrated. Countries with zero or almost zero taxes thus became the core of the globalization reactor. How have governments responded? By reducing their tax rates which resulted in tax competition among states. Some countries like Singapore, Ireland and Luxury