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Measuring the Growth and Variability of Tax Bases Over the Business Cycle

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  • Sobel, Russell S.
  • Holcombe, Randall G.

Abstract

Shows that the standard method for estimating elasticity results in asymptotic bias and inconsistent standard errors. Uses time-series econometric techniques to provide unbiased estimates of the long-run growth potential (the long-run elasticity) and cyclical variability (the short-run elasticity) of all major tax bases.

Suggested Citation

  • Sobel, Russell S. & Holcombe, Randall G., 1996. "Measuring the Growth and Variability of Tax Bases Over the Business Cycle," National Tax Journal, National Tax Association;National Tax Journal, vol. 49(4), pages 535-552, December.
    • Handle: RePEc:ntj:journl:v:49:y:1996:i:4:p:535-52
    DOI: 10.1086/NTJ41789225
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    References listed on IDEAS

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