Did the 2001 Tax Rebate Stimulate Spending? Evidence from Taxpayer Surveys
AbstractIn 2001, many households received rebate checks as advanced payments of the benefit of the new, 10 percent federal income tax bracket. A survey conducted at the time the rebates were mailed finds that few households said that the rebate led them mostly to increase spending. A follow-up survey in 2002, as well as a similar survey conducted after the attacks of 9/11, also indicates low spending rates. This paper investigates the robustness of these survey responses and assesses whether such surveys are useful for policy evaluation. It also draws lessons from the surveys for macroeconomic analysis of the tax rebate.
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Bibliographic InfoPaper provided by National Bureau of Economic Research, Inc in its series NBER Working Papers with number 9308.
Date of creation: Nov 2002
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Publication status: published as Did the 2001 Tax Rebate Stimulate Spending? Evidence from Taxpayer Surveys , Matthew D. Shapiro, Joel Slemrod. in Tax Policy and the Economy, Volume 17 , Poterba. 2003
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- Matthew D. Shapiro & Joel Slemrod, 2003. "Did the 2001 Tax Rebate Stimulate Spending? Evidence from Taxpayer Surveys," NBER Chapters, in: Tax Policy and the Economy, Volume 17, pages 83-110 National Bureau of Economic Research, Inc.
- E21 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Consumption; Saving; Wealth
- H31 - Public Economics - - Fiscal Policies and Behavior of Economic Agents - - - Household
This paper has been announced in the following NEP Reports:
- NEP-ALL-2002-11-04 (All new papers)
- NEP-PBE-2002-11-04 (Public Economics)
- NEP-PKE-2002-11-04 (Post Keynesian Economics)
- NEP-PUB-2002-11-04 (Public Finance)
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