It is the argument of this dissertation that states become tax havens as a conscious economic development strategy. These states -- more properly referred to as "jurisdictions" because some lack the sovereignty of the traditional Westphalian state -- do not have the natural resources or the population to pursue more traditional economic development strategies, but they do have the ability to write and implement laws that create a virtual resource: banking secrecy. These jurisdictions are to carry out this strategy because they tend to be well-governed, stable, and relatively wealthy, making them attractive partners for the international banking, law, and accounting firms that drive offshore finance, and then for their customers -- both individual and corporate -- as well. The qualities tax havens possess also enable them to calculate that the benefits they reap from pursuing this strategy outweigh any penalties assessed by anti-tax haven international collective action activities, such as the naming and shaming campaigns of 2000.