In this book, part of the Brookings Integrating National Economies series, Vito Tanzi assesses the need for, and obstacles to, cooperation among countries. He addresses key questions about the effects of internationalization on current and developing tax systems.

Tanzi encourages policymakers and tax experts to think globally as they establish new policies. He calls for greater tax harmonization and coordination across national borders and explores the viability of an international institution that would establish and enforce rules for taxation.

This institution, similar to the General Agreement on Tariffs and Trade for trade issues and the International Monetary Fund for general macroeconomic issues, would provide much needed surveillance over the developments in tax systems. Tanzi argues that the creation of such an institution would encourage countries to follow common policies and would support the efforts of international economic integration.