Abstract. Tax competition between governments is a research topic of growing importance in the context of globalization. This subject is particularly important for the European Union, characterized by a high degree of economic integration, single currency and free movement of goods, services, persons and capital. In this paper we define the concept of tax competition and we provide a review of the literature to highlight its potential effects.

Keywords: concurenţa fiscală; armonizare fiscală; redistribuire; mobilitate; bunuri publice.