The Incentive Effects of Property Taxation: Evidence from Norwegian School Districts
Abstract
Recent theoretical contributions indicate favorable incentive effects of property taxation on public service providers. The object of this paper is to confront these theories with data from Norwegian school districts. The institutional setting in Norway is well suited for analyzing the effects of property taxation because one can compare school districts with and without property taxation. To take into account potential endogeneity of the choice of implementing property taxation, we rely on instrumental variable techniques. The empirical results indicate that, conditional on resource use, property taxation improves school quality measured as students’ result on the national examination.Download Info
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Paper provided by Research Department of Statistics Norway in its series Discussion Papers with number 484.Length:
Date of creation: Oct 2006
Date of revision:
Handle: RePEc:ssb:dispap:484
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Postal: P.O.Box 8131 Dep, N-0033 Oslo, Norway
Phone: (+47) 21 09 00 00
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Web page: http://www.ssb.no/en/
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Related research
Keywords: Property taxation; Disciplining device; Public sector quality;Other versions of this item:
- Fiva, Jon H. & Rønning, Marte, 2008. "The incentive effects of property taxation: Evidence from Norwegian school districts," Regional Science and Urban Economics, Elsevier, vol. 38(1), pages 49-62, January.
- C21 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Cross-Sectional Models; Spatial Models; Treatment Effect Models
- H71 - Public Economics - - State and Local Government; Intergovernmental Relations - - - State and Local Taxation, Subsidies, and Revenue
- I22 - Health, Education, and Welfare - - Education - - - Educational Finance
This paper has been announced in the following NEP Reports:
- NEP-ALL-2007-01-13 (All new papers)
- NEP-EDU-2007-01-13 (Education)
- NEP-PBE-2007-01-13 (Public Economics)
- NEP-URE-2007-01-13 (Urban & Real Estate Economics)
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Citations
Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.Cited by:
- Lars-Erik Borge & Jørn Rattsø, 2006.
"Property taxation as incentive for cost control:Empirical evidence for utility services in Norway,"
Working Paper Series
7606, Department of Economics, Norwegian University of Science and Technology.
- Borge, Lars-Erik & Rattsø, Jørn, 2008. "Property taxation as incentive for cost control: Empirical evidence for utility services in Norway," European Economic Review, Elsevier, vol. 52(6), pages 1035-1054, August.
- Lars-Erik Borge & Jørn Rattsø, 2003. "Property taxation as incentive for cost control: Empirical evidence for utility services in Norway," ERSA conference papers ersa03p219, European Regional Science Association.
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