Details
| Original language | English |
|---|---|
| Pages (from-to) | 807-836 |
| Number of pages | 30 |
| Journal | Journal of regional science |
| Volume | 47 |
| Issue number | 4 |
| Publication status | Published - Oct 2007 |
Abstract
We investigate the relationship between income tax rate variation and internal migration for the unique case of Switzerland, whose system of determining tax rates primarily at the community level results in enough variation to permit analysis of their influence on migration. Specifically, using Swiss census data, we analyze migratory responses to tax rate variations for various groups defined by age, education, and nationality/residence permit. The results suggest that young Swiss college graduates are most sensitive to tax rate differences, but the estimated effects are not large enough to offset the revenue-increasing effect of a rise in tax rate. The migratory responses of foreigners and other age-education groups are even smaller, and reverse causation seems negligible.
ASJC Scopus subject areas
- Social Sciences(all)
- Development
- Environmental Science(all)
- Environmental Science (miscellaneous)
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In: Journal of regional science, Vol. 47, No. 4, 10.2007, p. 807-836.
Research output: Contribution to journal › Article › Research › peer review
}
TY - JOUR
T1 - Taxation and internal migration
T2 - Evidence from the Swiss census using community-level variation in income tax rates
AU - Liebig, Thomas
AU - Puhani, Patrick A.
AU - Sousa-Poza, Alfonso
PY - 2007/10
Y1 - 2007/10
N2 - We investigate the relationship between income tax rate variation and internal migration for the unique case of Switzerland, whose system of determining tax rates primarily at the community level results in enough variation to permit analysis of their influence on migration. Specifically, using Swiss census data, we analyze migratory responses to tax rate variations for various groups defined by age, education, and nationality/residence permit. The results suggest that young Swiss college graduates are most sensitive to tax rate differences, but the estimated effects are not large enough to offset the revenue-increasing effect of a rise in tax rate. The migratory responses of foreigners and other age-education groups are even smaller, and reverse causation seems negligible.
AB - We investigate the relationship between income tax rate variation and internal migration for the unique case of Switzerland, whose system of determining tax rates primarily at the community level results in enough variation to permit analysis of their influence on migration. Specifically, using Swiss census data, we analyze migratory responses to tax rate variations for various groups defined by age, education, and nationality/residence permit. The results suggest that young Swiss college graduates are most sensitive to tax rate differences, but the estimated effects are not large enough to offset the revenue-increasing effect of a rise in tax rate. The migratory responses of foreigners and other age-education groups are even smaller, and reverse causation seems negligible.
UR - http://www.scopus.com/inward/record.url?scp=34548274696&partnerID=8YFLogxK
U2 - 10.1111/j.1467-9787.2007.00529.x
DO - 10.1111/j.1467-9787.2007.00529.x
M3 - Article
AN - SCOPUS:34548274696
VL - 47
SP - 807
EP - 836
JO - Journal of regional science
JF - Journal of regional science
SN - 0022-4146
IS - 4
ER -