The carousel trade (arbitrage)
Imagine two companies which are secretly controlled by the same people. If company A imported some phones, then sold them to company B, it charged VAT on the deal. If company B then exported the phones, it reclaimed — from the government — the VAT it had paid to company A. the integrity of the […] The post The carousel trade (arbitrage) appeared first on Marginal REVOLUTION. CommentsThis is not arbitrage. This is fraud. Arbitrage means risk-free . by SohailRelated StoriesLiberal Economists Sc...
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Marginal Revolution (United States) | May 25, 2026
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