The effect of income taxes on interstate migration: an analysis by age and race
- 177 Downloads
The topic of interstate migration and the effects of taxes on migration have been extensively studied. Prior research has examined not only many possible determinants of migration but also the migrations of various populations, including the elderly, African-Americans, and the college educated. The present study will attempt to differentiate itself from this prior research by looking at the effect of income taxes on the interstate migration of both whites and African-Americans at various ages. Another distinguishing feature of the present study is that it will use data from the NLSY-Geocode, a data set not used previously for this type of study. Results of the present study are similar to the results of prior works; income taxes have an effect on migration for most races and age groups. Individuals move from states with high income taxes to states with low income taxes; these results corroborate the results obtained from the use of aggregate, state-level data. In addition, results of the present study suggest that non-economic factors, such as ties to a particular state and changes in employment status, are also important factors in an individual’s migration decision.
JEL ClassificationH2 R2
Unable to display preview. Download preview PDF.
- Cebula R (1979) Survey of the literature on the migration impact of state and local government policies. Public Finance 34(1): 69–83Google Scholar
- Cebula R (2007) The Tiebot hypothesis, undercapitalized fiscal surplus, housing prices, and geographic mobility. J Glob Bus Issues 1(2): 159–164Google Scholar
- Conway K, Houtenville A (2001) Elderly migration and state fiscal policy: evidence from the 1990 census migration flows. Natl Tax J 54(1): 103–123Google Scholar
- Hsing Yu (1995) A note on interstate migration and tax burdens: new evidence. J Appl Bus Res 12(1): 12–14Google Scholar
- Milligan J (2000) Migration and age: the effects of age on sensitivity to migration stimuli. Reg Stud 34(4): 521–533Google Scholar
- Robert P (1999) State policy components of interstate migration in the United States. Polit Res Q 52(3): 527–547Google Scholar