The EFFECTS of STATE and LOCAL TAX-BASED INCENTIVES on U.S. LABOR MARKETS, 1990–2015: BOON or BOONDOGGLE?

Hakyeon Lee; J. S. Butler

doi:10.52372/jps37403

The EFFECTS of STATE and LOCAL TAX-BASED INCENTIVES on U.S. LABOR MARKETS, 1990–2015: BOON or BOONDOGGLE?

Research output: Contribution to journal › Article › peer-review

Abstract

Clear evidence about the effectiveness of economic development incentives is limited. To bridge this research gap, this study uses the Upjohn Institute Panel Database on Incentives and Taxes (PDIT). Unemployment and employment rates are used to analyze the effectiveness of tax-based incentives. Statistical results indicate that tax incentives have a marginal impact on employment status and limited benefits to states. Only the R&D tax credit statistically significantly increases employment rates. This result supports the interpretation of economic development policies as a zero-sum game.

Original language	English
Pages (from-to)	39-55
Number of pages	17
Journal	Journal of Policy Studies
Volume	37
Issue number	4
DOIs	https://doi.org/10.52372/jps37403
State	Published - 2022

Bibliographical note

Publisher Copyright:
© 2022, Seoul National University - Graduate School of Public Administration. All rights reserved.

Keywords

economic development policies
state governments
Tax-based incentives
zero-sum game

ASJC Scopus subject areas

Public Administration

UN SDGs

This output contributes to the following UN Sustainable Development Goals (SDGs)

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10.52372/jps37403

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The EFFECTS of STATE and LOCAL TAX-BASED INCENTIVES on U.S. LABOR MARKETS, 1990–2015: BOON or BOONDOGGLE?

Abstract

Bibliographical note

Keywords

ASJC Scopus subject areas

UN SDGs

Access to Document

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