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    Tax Cuts and Employment Growth in New Jersey: Lessons from a Regional Analysis

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    12600095_RevisedPaperFebruary2004.pdf (248.5Kb)
    Author
    Reed, W.R.
    Rogers, C.L.
    Date
    2004
    Permanent Link
    http://hdl.handle.net/10092/711

    The Whitman Administration’s 30 percent reduction in New Jersey’s personal income taxes from 1994-96 is prominently cited as a role model for state fiscal policy. We investigate whether the growth benefits attributed to the Whitman tax cuts are warranted. Panel data methods are applied to annual observations of county-level employment growth from New Jersey and the surrounding economic region. Our analysis does not support the hypothesis that tax cuts stimulated employment growth in New Jersey. While New Jersey did experience substantial employment growth subsequent to the tax cuts, most of this growth was shared by the nearby Economic Areas.

    Subjects
    Fields of Research::340000 Economics::340200 Applied Economics::340209 Public sector economics
     
    Fields of Research::340000 Economics::349900 Other Economics::349901 Political economy
    Collections
    • Business and Law: Journal Articles [241]
    Rights
    https://hdl.handle.net/10092/17651

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