Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/102225
Authors: 
Agrawal, David
Hoyt, William H.
Year of Publication: 
2014
Series/Report no.: 
CESifo Working Paper 4852
Abstract: 
We examine the effects of differences in income tax rates on commuting times within multi-state MSAs. Our theoretical model introduces a border into a model of an urban area and shows that differences in average tax rates distort commute times and interstate commutes. Empirically examining multi-state MSAs allows us to exploit tax policy discontinuities while holding fixed other characteristics. We identify large effects on commuting times for affluent households and homeowners in MSAs in which taxes are based on the state of residence. We discuss how the model and empirical design can be used to study other policy differences.
Subjects: 
tax differentials
transportation
inter-jurisdictional competition
commuting
JEL: 
H20
H71
H73
R12
R28
R41
Document Type: 
Working Paper

Files in This Item:
File
Size





Items in EconStor are protected by copyright, with all rights reserved, unless otherwise indicated.