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The Incidence of the Local Property Tax: A Re-evaluation / Peter M. Mieszkowski, George R. Zodrow.

NBER Working papers Available online

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Format:
Book
Author/Creator:
Mieszkowski, Peter M.
Contributor:
National Bureau of Economic Research.
Zodrow, George R.
Series:
Working Paper Series (National Bureau of Economic Research) no. w1485.
NBER working paper series no. w1485
Language:
English
Subjects (All):
Property tax.
Wealth tax.
Physical Description:
1 online resource: illustrations (black and white);
Other Title:
The Incidence of the Local Property Tax
Place of Publication:
Cambridge, Mass. National Bureau of Economic Research 1984.
Cambridge, Massachusetts : National Bureau of Economic Research, 1984.
Summary:
The article identifies the key assumptions that underlie competing theories of the incidence of the local property tax. We conclude that the"benefit view" which maintains that the property tax system is equivalent to a set of non-distortionary user changes is correct only under very restrictive assumptions. Only when communities adopt a set of exact, binding zoning requirements will a distortionary tax be transformed into a lump-sum tax. We argue that within jurisdiction heterogeneity of house and firm typeis very unlikely and that the burden of a property tax that is distortionary at the margin falls on the owners of capital.
Notes:
Print version record
October 1984.

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