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What Do We Know About Taxes and State Economic Development? A Replication and Extension of Five Key Studies


  • Rex Pjesky

    (Northeastern State University)


This study is a replication of five studies that have had an impact on the way we think about state and local taxes. This study has three phases. In the first phase, the original studies are independently replicated. In the second phase, the original models are estimated a recent, uniform time-period (1977-1997). In the third phase, the original models are estimated with a common time-period and a common dependent variable (Per Capita Personal Income). When these models are estimated with a common, later timeperiod and a common dependent variable, the seeming consistency of these five studies no longer holds.

Suggested Citation

  • Rex Pjesky, 2006. "What Do We Know About Taxes and State Economic Development? A Replication and Extension of Five Key Studies," Journal of Economic Insight (formerly the Journal of Economics (MVEA)), Missouri Valley Economic Association, vol. 32(1), pages 25-40.
  • Handle: RePEc:mve:journl:v:32:y:2006:i:1:p:25-40

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    JEL classification:

    • H71 - Public Economics - - State and Local Government; Intergovernmental Relations - - - State and Local Taxation, Subsidies, and Revenue


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