Adelino, Manuel, Antoinette Schoar, and Felipe Severino, 2015, House prices, collateral and self employment, Journal of Financial Economics 117, 288-306.
Asker, John, Joan Farre-Mensa, and Alexander Ljungqvist, 2015, Corporate investment and stock market listing: a puzzle?, Review of Financial Studies 28, 342–390.
Barro, Robert J., and Charles J. Redlick, 2011, Macroeconomic effects from government purchases and taxes, Quarterly Journal of Economics 126, 51–102.
Bernanke, Ben S., and Ilian Mihov, 1998, Measuring monetary policy, Quarterly Journal of Economics 113, 869–902.
- Bernthal, Jamie, Dana Gavrila, Katie Schumacher, Shane Spencer, and Katherine Sydor, 2012, Single sales-factor corporate income tax apportionment: Evaluating the impact in Wisconsin, Working Paper, University of Wisconsin-Madison.
Paper not yet in RePEc: Add citation now
Bertrand, Marianne, Esther Duflo, and Sendhil Mullainathan, 2004, How much should we trust differences-in-differences estimates?, Quarterly Journal of Economics 119, 249–275.
Blanchard, Olivier J., and Roberto Perotti, 2002, An empirical characterization of the dynamic effects of changes in government spending and taxes on output, Quarterly Journal of Economics 117, 1329–1368.
Chodorow-Reich, Gabriel, Laura Feiveson, Zachary Liscow, and William Gui Woolston, 2012, Does state fiscal relief during recessions increase employment? Evidence from the American Recovery and Reinvestment Act, American Economic Journal: Economic Policy 4, 118–145.
Clemens, Jeffrey, and Stephen Miran, 2012, Fiscal policy multipliers on subnational government spending, American Economic Journal: Economic Policy 4, 46–86.
Djankov, Simeon, Tim Ganser, Caralee McLiesh, Rita Ramalho, and Andrei Shleifer, 2010, The effect of corporate taxes on investment and entrepreneurship, American Economic Journal: Macroeconomics 2, 31–64.
Dube, Arindrajit, T. William Lester, and Michael Reich, 2010, Minimum wage effects across state borders: Estimates using contiguous counties, Review of Economics and Statistics 92, 945–964.
Ellwood, David T., and Glenn Fine, 1987, The impact of right-to-work laws on union organizing, Journal of Political Economy 95, 250–273.
Fishback, Price V., and Valentina Kachanovskaya, 2010, In search of the multiplier for federal spending in the states during the Great Depression, NBER Working Paper 16561.
Hagedorn, Marcus, Fatih Karahan, Iourii Manovskii, and Kurt Mitman, 2015, Unemployment benefits and unemployment in the Great Recession: The role of macro effects, NBER Working Paper 19499.
Heider, Florian, and Alexander Ljungqvist, 2015, As certain as debt and taxes: Estimating the tax sensitivity of leverage from state tax changes, Journal of Financial Economics, forthcoming.
Helms, L. Jay, 1985, The effect of state and local taxes on economic growth: A time series-cross section approach, Review of Economics and Statistics 67, 574–582. 34 Hirsch, Barry T., and David A. Macpherson, 2003, Union membership and coverage database from the Current Population Survey: Note, Industrial and Labor Relations Review 56, 349– 54.
Holmes, Thomas J., 1998, The effect of state policies on the location of manufacturing: Evidence from state borders, Journal of Political Economy 106, 667–705.
Huang, Rocco R., 2008, Evaluating the real effect of bank branching deregulation: Comparing contiguous counties across U.S. state borders, Journal of Financial Economics 87, 678–705.
Kneller, Richard, Michael F. Bleaney, and Norman Gemmell, 1999, Fiscal policy and growth: Evidence from OECD countries, Journal of Public Economics 74, 171–190.
Lee, Young, and Roger H. Gordon, 2005, Tax structure and economic growth, Journal of Public Economics 89, 1027–1043.
Leeper, Eric M., 1997, Narrative and VAR approaches to monetary policy: Common identification problems, Journal of Monetary Economics 40, 69–85.
Matsa, David, 2010, Capital structure as a strategic variable: Evidence from collective bargaining, Journal of Finance 65, 1197–1232.
Mertens, Karel, and Morten O. Ravn, 2013, The dynamic effects of personal and corporate income tax changes in the United States, American Economic Review 103, 1212–1247.
Meyer, Bruce D., 1995, Natural and quasi-experiments in economics, Journal of Business and Economic Statistics 13, 151–161.
Mofidi, Alaeddin, and Joe A. Stone, 1990, Do state and local taxes affect economic growth?, Review of Economics and Statistics 72, 686–691.
Mountford, Andrew, and Harald Uhlig, 2009, What are the effects of fiscal policy shocks?, Journal of Applied Econometrics 24, 960–992.
Mukherjee, Abhiroop, Manpreet Singh, and Alminas Zaldokas, 2014, Do corporate taxes hinder innovation?, Working Paper, Hong Kong University of Science and Technology.
Nakamura, Emi, and Jon Steinsson, 2014, Fiscal stimulus in a monetary union: Evidence from U.S. regions, American Economic Review 104, 753–792.
Ramey, Valerie A., 2011, Identifying government spending shocks: It’s all in the timing, Quarterly Journal of Economics 126, 1–50.
Ramey, Valerie A., and Matthew D. Shapiro, 1998, Costly capital reallocation and the effects of government spending, Carnegie-Rochester Conference Series on Public Policy 48, 145–94.
- Right-to-work states are states that have a right-to-work statute in place, as detailed in Ellwood and Fine (1987) and updated by Matsa (2010).
Paper not yet in RePEc: Add citation now
Romer, Christina D., and David H. Romer, 1989, Does monetary policy matter? A new test in the spirit of Friedman and Schwartz, NBER Macroeconomics Annual 1989, ed. Olivier J. Blanchard and Stanley Fischer, 121–70. Cambridge, MA: MIT Press.
Romer, Christina D., and David H. Romer, 2010, The macroeconomic effects of tax changes: Estimates based on a new measure of fiscal shocks, American Economic Review 100, 763– 801.
- Shoag, Daniel, 2015, The impact of government spending shocks: Evidence on the multiplier from state pension plan returns, Working Paper, Harvard University. 35 Sims, Christopher A., 2010, But economics is not an experimental science, Journal of Economic Perspectives 24, 59–68.
Paper not yet in RePEc: Add citation now
- Smolyansky, Michael, 2014, Policy externalities and banking integration, Working Paper, New York University.
Paper not yet in RePEc: Add citation now
- State investment tax credit rate is the rate at which a firm can deduct capital expenditures directly from its state corporate income tax liability (in addition to the usual depreciation deductions against taxable income). Data through 2006 come from Chirinko and Wilson (2008). Data for subsequent years come from tax forms available on state Department of Revenue websites.
Paper not yet in RePEc: Add citation now
- State job creation credit is set equal to one if the state offers a tax credit in return for hiring new workers meeting certain requirements, and zero otherwise. The data come from Appendix C1 in Neumark and Grijalva (2013).
Paper not yet in RePEc: Add citation now
- State R&D credit rate is the percentage of a firm’s R&D expenditures that it can deduct directly from its state corporate income tax liability (in addition to the usual deduction against taxable income). Data through 2006 come from Wilson (2007). Data for subsequent years come from tax forms available on state Department of Revenue websites.
Paper not yet in RePEc: Add citation now
- States with high unionization are states in which the fraction of non-agricultural wage and salary employees who are union members exceeds the national median in the previous year. The data come from Hirsch and Macpherson (2003) as updated on their website, www.unionstats.com.
Paper not yet in RePEc: Add citation now
Stock, James H., and Mark W. Watson, 2001, Vector autoregressions, Journal of Economic Perspectives 15, 101–115.
Suarez Serrato, Juan Carlos, and Owen Zidar, 2015, Who benefits from state corporate tax cuts? A local labor markets approach with heterogeneous firms, NBER Working Paper 20289. 36 Appendix A. Treatments and Controls.
- Table A2 performs a Granger test for reverse causality by regressing changes in state corporate income tax rates on lagged changes in state-level personal income and employment, including a set of region-year fixed effects for the BEA’s eight economic regions to hold constant economic conditions among regional peers. None of the coefficients of interest is even remotely significant, suggesting that reverse causality is unlikely to be a concern in our setting. 40 Table A1. Determinants of State Corporate Income Tax Changes, 1986-2010.
Paper not yet in RePEc: Add citation now
- The data come from Hirsch and Macpherson (2003) as updated on their website, http://www.unionstats.com. Tax competition is measured as the difference between a state’s corporate income tax rate and the highest corporate income tax rate levied by any of the neighboring states.
Paper not yet in RePEc: Add citation now