Lost and found tax dollars: The impact of local option sales taxes on property taxes and own source revenue

2015 ◽  
Vol 27 (3) ◽  
pp. 318-351 ◽  
Author(s):  
Whitney B. Afonso
Keyword(s):  
Property Tax ◽  
Property Taxes ◽  
Policy Variable ◽  
Level Data ◽  
Lost And Found ◽  
Local Option Sales Tax ◽  
Local Option ◽  
The Impact ◽  
The Relationship ◽  
Primary Contribution

The relationship between the local option sales tax (LOST) and property taxes and own source revenue is not well documented in the literature. This may be due in part to the aggregated nature of the data, which fails to capture different motivations for adoption of LOSTs. Using county-level data from 35 states, this study finds that LOSTs increase own source revenue and in some circumstances decrease property tax burdens. The primary contribution of this research is that it uses a policy variable, the LOST rate, to distinguish between the two types of counties that use their LOST revenues differently. This research represents the first step in bridging the gap between the LOST literature and the tax mix choice literature.

scholarly journals Corruption and satisfaction with democracy: the conditional role of electoral disproportionality and ballot control

2018 ◽  
Vol 10 (3) ◽  
pp. 393-416 ◽  
Author(s):  
Alessandro Pellegata ◽  
Vincenzo Memoli
Keyword(s):  
Electoral Systems ◽  
Aggregate Level ◽  
Negative Effects ◽  
Empirical Results ◽  
Satisfaction With Democracy ◽  
Level Data ◽  
The Impact ◽  
The Relationship ◽  
Different Levels

Existing literature has analysed the relationship between electoral systems and either corruption or satisfaction with democracy (SWD) focussing on the traditional distinction between majoritarian and proportional systems. This paper, instead, investigates if and how specific aspects of electoral systems moderate the negative effects of corruption perceptions on SWD. We argue that two mechanisms act simultaneously but at different levels. The first mechanism is the relationship between voters and the national government, while the second links single representatives to their constituents. We advance conditional hypotheses that postulate an attenuating effect of disproportionality and a reinforcing impact of personal vote. Empirical results from 35 elections in 33 democracies, using both individual and aggregate-level data, confirm the research hypotheses. More disproportional electoral systems weaken the impact of citizens’ perceived corruption on their democratic satisfaction, while this is strengthened by systems in which the ballot control is mostly in the hand of the voters.

Show Me the Money

2016 ◽  
Vol 3 (2) ◽  
pp. 197-215
Author(s):  
Justin Simmons
Keyword(s):  
Sex Offenders ◽  
Sex Offender ◽  
Negative Impact ◽  
Property Tax ◽  
Property Values ◽  
Property Taxes ◽  
Tax Revenue ◽  
Property Value ◽  
Pros And Cons ◽  
The Impact

Many people have written scholarly articles highlighting the pros and cons of SORs. Some have taken the analysis a step further by pointing out the impact SORs have on the values of homes in the vicinity of a registered sex offender (“RSO”). While these studies have pointed out the impact the presence of an RSO can have on the property value for an individual homeowner, research regarding the impact RSOs have on property tax revenue for taxing districts is nonexistent. This Article highlights the correlation between the depressive effect the presence of RSOs has on property values, the impact this reduction in property value has on property tax revenue for taxing districts in Texas, and, as a corollary, the negative impact the decrease in revenue could have on the government’s ability to provide vital public services. The Article concludes by discussing different strategies states like Texas could use to allow taxing districts to recover some of this lost revenue. In particular, this Article suggests that states like Texas could (1) charge RSOs a premium on their property taxes to offset any losses their presence in the community causes; (2) pass laws that prevent RSOs from living in certain areas; (3) adjust the criteria used by taxing districts to appraise residential property; or (4) increase minimum sentences for sex offenders in an effort to reduce the number of registered sex offenders in the community.

Local Sales Tax and Revenue Volatility

2011 ◽  
Vol 29 (1) ◽  
pp. 167-180
Author(s):  
Yilin Hou ◽  
Jason S. Seligman
Keyword(s):  
Local Property ◽  
Sales Tax ◽  
Property Taxes ◽  
Sales Taxes ◽  
Local Option Sales Tax ◽  
Short Run ◽  
Local Option ◽  
Revenue Volatility ◽  
Mean Variance ◽  
Variance Approach

Abstract States have long used the sales tax as a revenue source. Since the 1970s states started granting localities the option of levying local sales taxes to enrich their revenue portfolio. Local sales taxes are often structured to reduce local property taxes; in most localities this strategy prevails in referendum. Since sales taxes are more elastic than property taxes, substituting away from the latter poses the threat of increased revenue volatility. We employ a panel dataset of counties in the state of Georgia to examine the effects of local option sales tax on own-source revenue volatility. We decompose volatility into the long- and short-run, use a mean-variance approach in considering correct revenue portfolios across tax-instruments, and find that substitution towards sales tax amplifies revenue variability. Our study fills a niche in die revenue volatility literature; our results imply that sales taxes may have been overweighed in current revenue portfolios.

Global financial network and liquidity risk

2018 ◽  
Vol 43 (4) ◽  
pp. 593-613 ◽  
Author(s):  
John Nkwoma Inekwe ◽  
Yi Jin ◽  
Maria Rebecca Valenzuela
Keyword(s):  
Financial Integration ◽  
Liquidity Risk ◽  
Jel Classification ◽  
Network Approach ◽  
Access To Finance ◽  
Financial Network ◽  
Level Data ◽  
Strongly Connected ◽  
The Impact ◽  
The Relationship

This article investigates the impact of global financial integration on liquidity risk. Using the network approach and bank-level data for 95 countries, we find weak asymmetry in the relationship between net stable funding and financial connectedness. Our results suggest that the degree of connectedness between banks is inversely related to funding stability. We also find that banks that are strongly connected to important lenders take on more risks relative to those that have independent access to finance in the financial network. Our results are consistent and invariant when either internal or external instruments are used to resolve econometric issues. JEL Classification: F21, F34, F36, G15, G33

scholarly journals An Assessment of the Access to Credit-Welfare Nexus: Evidence from Mauritania

2017 ◽  
Vol 12 (9) ◽  
pp. 77 ◽  
Author(s):  
Alessandra Amendola ◽  
Marinella Boccia ◽  
Gianluca Mele ◽  
Luca Sensini
Keyword(s):  
Rural Areas ◽  
Financial Services ◽  
Urban Areas ◽  
Credit Access ◽  
Access To Credit ◽  
Household Level ◽  
Support Strategies ◽  
Level Data ◽  
The Impact ◽  
The Relationship

This paper evaluates the impact of access to credit from banks and other financial institutions on household welfare in Mauritania. Household level data are used to evaluate the relationship between credit access, a range of household characteristics, and welfare indicators. To address the threats of potential endogeneity, an index of household isolation is used to instrument access to credit. Evidence on the validity of the exclusion restriction is provided showing that household isolation is unrelated with households and area characteristics six years prior to the measurements on which this analysis is based. Results show that households with older and more educated heads are more likely to access financial services, as are households living in urban areas. In addition, greater financial access is associated with a reduced dependence on household production and increased investment in human capital. The policy conclusions from our analysis support strategies for expanding financial infrastructures in underserved rural areas of Mauritania.

Party organizational change and leader effects on voting behavior: Linking the electoral and party faces of presidentialization

2019 ◽  
pp. 135406881989351
Author(s):  
Frederico Ferreira da Silva
Keyword(s):  
Voting Behavior ◽  
Late 20Th Century ◽  
Contextual Data ◽  
Selection Procedures ◽  
Individual Level ◽  
Level Data ◽  
Leadership Elections ◽  
The Impact ◽  
The Relationship ◽  
Western Democracies

Changes in electoral markets in the late 20th century have forced political parties to adapt. Having lost much support and facing growing disaffection, parties often resorted to organizational structure reforms as means to reengage with a debased electorate. This article explores the impact of two changes in party organization—democratization of leadership selection procedures and increasing leadership power—on the extent to which leaders have an effect on voting behavior. In doing so, it analyzes the understudied interconnection between the electoral and the party faces of the presidentialization of politics thesis. The results provide mixed evidence regarding the relationship between both dimensions of presidentialization: more leadership power boosts leader effects, but only non-divisive direct leadership elections favor leader effects. This is a comparative study on Western democracies, combining individual-level data from the Comparative of Study of Electoral Systems with contextual data from the Political Party Database Project.

scholarly journals The Effects of Irreversibility and Uncertainty on Business Investments: A New View of Investment

2014 ◽  
Vol 5 (3) ◽  
pp. 7-20
Author(s):  
Katarína Belanová
Keyword(s):  
Empirical Analysis ◽  
Investment Decision ◽  
Firm Level ◽  
Factors Affecting ◽  
Real Options Approach ◽  
Investment Decision Making ◽  
Level Data ◽  
The Impact ◽  
The Relationship ◽  
The Empirical Analysis

This article presents a survey of recent theoretical, as well as empirical, contributions concerning business investments, which help to explain the investment decision making of companies. These contributions emphasize the relevance of idiosyncratic factors affecting investment decisions such as the degree of irreversibility and uncertainty, interactions between these factors may generate an opportunity cost equivalent to the exercise of an option and so they add an important dimension to the neoclassical theory of investment (also called standard or orthodox theory of investment). This theory has not recognized the important qualitative and quantitative implications of this interaction, what can explain some of its failures. We investigate the irreversibility of investments and the impact this has on the nature of the relationship between investment and uncertainty in the way of empirical analysis. The empirical analysis uses firm – level data and is based on a survey of 53 automotive suppliers, which was carried out during the year 2011. We find supportive evidence for the fact that uncertainty is negatively associated with planned investments of the companies surveyed, which remains true also in the presence of irreversibility. At the end we demonstrate the core of the real options approach in a form of a practical example.

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