If you need an accessible version of this item please contact JSTOR User Support

The Importance of Local Fiscal Conditions in Analyzing Local Labor Markets

Joseph Gyourko and Joseph Tracy
Journal of Political Economy
Vol. 97, No. 5 (Oct., 1989), pp. 1208-1231
Stable URL: http://www.jstor.org/stable/1831893
Page Count: 24
  • Download PDF
  • Cite this Item

You are not currently logged in.

Access your personal account or get JSTOR access through your library or other institution:

login

Log in to your personal account or through your institution.

If you need an accessible version of this item please contact JSTOR User Support
The Importance of Local Fiscal Conditions in Analyzing Local Labor Markets
Preview not available

Abstract

A new test of the compensating wage differential model is proposed. The logic behind Roback's model, which shows how differences in nonproduced amenities may be reflected in intercity wage differentials, is extended to the case of differences in local fiscal conditions, represented by tax rates and publicly produced services. Results show that differences in local tax rates and services provisions do generate compensating wage differentials across cities. The effects of a particularly large set of taxes and effective services output measures are examined. Differences in local fiscal conditions are shown to play important roles in explaining the variance in intermetropolitan wages.

Page Thumbnails

  • Thumbnail: Page 
1208
    1208
  • Thumbnail: Page 
1209
    1209
  • Thumbnail: Page 
1210
    1210
  • Thumbnail: Page 
1211
    1211
  • Thumbnail: Page 
1212
    1212
  • Thumbnail: Page 
1213
    1213
  • Thumbnail: Page 
1214
    1214
  • Thumbnail: Page 
1215
    1215
  • Thumbnail: Page 
1216
    1216
  • Thumbnail: Page 
1217
    1217
  • Thumbnail: Page 
1218
    1218
  • Thumbnail: Page 
1219
    1219
  • Thumbnail: Page 
1220
    1220
  • Thumbnail: Page 
1221
    1221
  • Thumbnail: Page 
1222
    1222
  • Thumbnail: Page 
1223
    1223
  • Thumbnail: Page 
1224
    1224
  • Thumbnail: Page 
1225
    1225
  • Thumbnail: Page 
1226
    1226
  • Thumbnail: Page 
1227
    1227
  • Thumbnail: Page 
1228
    1228
  • Thumbnail: Page 
1229
    1229
  • Thumbnail: Page 
1230
    1230
  • Thumbnail: Page 
1231
    1231