Hufbauer (Reginald Jones Senior Fellow, Peter G. Peterson Institute for International Economics) and Assa, a tax attorney, recommend tax policy reforms that would encourage multinational enterprises to locate both headquarters activities and high-technology production in the US. To achieve these goals, they propose that the US tax regime be shifted toward a territorial system, coupled with favorable expense allocation rules. They suggest a new approach for taxing royalty and fee income earned abroad so that high-technology production in the US is not penalized by comparison with production abroad, and urge the US to take the lead in creating a cooperative international system that would discourage underreporting of foreign portfolio income. They contend that these proposed reforms would collect more tax revenue than the present system. About 135 pages of appendices offer summaries of the histories of various US tax laws and other background information. Annotation ©2008 Book News, Inc., Portland, OR (booknews.com) Read Less