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A Retail Sales / Sales Tax Paradox

Author

Listed:
  • Lansford, Notie H., Jr.
  • Brorsen, B. Wade
  • Woods, Michael D.
Abstract
Small communities experiencing slow to negative growth sometimes increase their local sales tax rate in order to maintain or expand public services. A cross-sectional, time series model is used to investigate possible unintended consequences. Negative elasticities are found for tax rates above the norm, resulting in reduced retail trade.

Suggested Citation

  • Lansford, Notie H., Jr. & Brorsen, B. Wade & Woods, Michael D., 2001. "A Retail Sales / Sales Tax Paradox," A.E. Series 92071, Oklahoma State University, Department of Agricultural Economics.
    • Handle: RePEc:ags:okuaes:92071
    DOI: 10.22004/ag.econ.92071
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    References listed on IDEAS

    as
    1. Walsh, Michael J. & Jones, Jonathan D., 1988. "More Evidence on the "Border Tax" Effect: The Case of West Virginia, 1979-84," National Tax Journal, National Tax Association, vol. 41(2), pages 261-65, June.
    2. Walsh, Michael J. & Jones, Jonathan D., 1988. "More Evidence on the "Border Tax" Effect: The Case of West Virginia, 1979-84," National Tax Journal, National Tax Association;National Tax Journal, vol. 41(2), pages 261-265, June.
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    7. John F. Yanagida & Bruce B. Johnson & Joel Young & Michael Lundeen, 1991. "An Analysis Of Economic And Noneconomic Factors Affecting Retail Sales Leakages," The Review of Regional Studies, Southern Regional Science Association, vol. 21(1), pages 53-64, Spring.
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    Full references (including those not matched with items on IDEAS)

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