Mark J. Roe & Michael Troege, Ending Tax Law's Subsidy for Corporate Debt, Bloomberg Tax (Dec. 23, 2021).
Abstract: By sharply favoring debt over equity, the U.S. corporate tax does considerable economic damage, writes professors Mark Roe and Michael Troege. Instead, they suggest we take a look at Allowance for Corporate Equity—or ACE—which fixes a tax-deductible cost to equity based on government bond rates.