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The Income-Stimulating Incentives of the Property Tax

(with Richard Noyes)

Where a large share of fiscal revenue comes from property taxes, individual income tends to be high. There is a clear propensity for the local economy to grow faster than in those states which are less dependent upon the property tax than on taxes linked to income or sales.

Our findings begin with an analysis of two states –New Hampshire and California–which differ in that choice.

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