Individual tax rates and regional tax revenues: a cross-state analysis

2016/02/24 by Hakan Yilmazkuday · 1 voice
Economics, Econometrics and Finance · Social Sciences · #Fiscal Policy and Economic Growth #Gender, Labor, and Family Dynamics #Taxation and Compliance Studies

paper · doi:10.1080/00343404.2015.1119266

openalex publication_date 2016/02/24 · openalex created_date 2025/10/10 · openalex updated_date 2025/11/06

Abstract

Individual tax rates and regional tax revenues: a cross-state analysis. Regional Studies. This paper analyzes the effects of state-level personal tax rates on state tax revenue and individual welfare. The policy analysis based on a general equilibrium model suggests that tax revenues would benefit from higher wage–income, sales or property taxes, while any increase in dividend–income tax would result in a reduction of revenues. It is also shown that individuals would suffer from an increase in state-level wage–income tax, dividend tax or sales tax, while they would benefit from an increase in property taxes. The heterogeneity across states is determined by a TaxIndex, a weighted average of initial taxes at the state level.

Citations

• JOBS, PRODUCTIVITY, AND LOCAL ECONOMIC DEVELOPMENT: WHAT IMPLICATIONS DOES ECONOMIC RESEARCH HAVE FOR THE ROLE OF GOVERNMENT?

Discussions

• "Individual tax rates and regional tax revenues: a cross-state analysis" is available at Regional Studies: doi.org/10.1080/00343404.20... [bsky, 1 points, 0 comments]

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