In the spirit of the elasticity of taxable income literature, which has primarily considered federal taxes using individual data, we estimate panel regressions of state personal income tax bases on state tax rates, structures, and other controls. We consider actual tax base data gathered...

Do taxes drive entrepreneurs out of business? This paper uses panel data on self-employed workers to examine whether differential income and payroll taxes affect their decisions to continue operating or to close their doors and take wage-and-salary jobs. I exploit statutory variations in the tax...

We use a 12–year panel of tax return data to assess whether or not taxes affect the duration of entrepreneurial activities. Our study is the first to examine the effects of tax rates on exit decisions using duration–analysis techniques. We find convincing evidence that cutting marginal tax...

This paper extends the quantitative estimates of sales tax revenue losses from electronic commerce in a variety of ways. First, we place the effects of e-commerce in the context of general sales tax base trends, arguing that e-commerce is only one of the factors reducing sales tax bases. Second,...

Examines various economic models and explains how technology, demographics, and capital accumulation affect economic policy (including how taxes alter investment incentives).

Examination, from the vantage point of equity and efficiency, of federal tax policy toward small businesses. Considers the relatively few tax provisions that explicitly target small businesses, and concludes that current tax-based subsidies are not justified.

Examines issues faced by state and local governments under proposed federal income tax reform. Argues that efficient taxation of consumption provided by the government sector is difficult and that attempts to do so will have a dramatic effect on amount of financing and production of government...