Support for Alternative Local Government Revenues

34 Pages Posted: 12 Aug 2019

See all articles by Ronald C. Fisher

Ronald C. Fisher

Michigan State University - Department of Accounting & Information Systems; Michigan State University - Department of Economics

Robert W. Wassmer

California State University, Sacramento - Department of Public Policy & Administration

Zachary Kuloszewski

affiliation not provided to SSRN

Date Written: March 1, 2019

Abstract

Our objective is an assessment of individual preferences for various revenue options for local government to address inadequate service spending or revenue shortfalls. California offers an especially interesting place to explore such attitudes given Proposition 13 and the resulting decrease in its reliance on property taxation. Using individual survey responses found in a CalSpeaks Survey representative of all Californians in late 2016, we find a preference for sales tax and fees over the property tax. Regression analysis reveals that political ideology affects revenue preferences, with progressives more likely to prefer the property tax and conservatives to prefer fees. Personal circumstances – including income, homeownership, children in schools, and public service satisfaction – also affect revenue preferences. These findings highlight the challenges that policymakers face in generating/maintaining support for property taxes as a local government funding mechanism.

Keywords: Property Tax, Revenue Choice, Proposition 13

JEL Classification: H71, H27, R51

Suggested Citation

Fisher, Ronald C. and Wassmer, Robert William and Kuloszewski, Zachary, Support for Alternative Local Government Revenues (March 1, 2019). Available at SSRN: https://ssrn.com/abstract=3433929 or http://dx.doi.org/10.2139/ssrn.3433929

Ronald C. Fisher

Michigan State University - Department of Accounting & Information Systems ( email )

270 North Business Complex
East Lansing, MI 48824-1034
United States
517-355-2326 (Phone)

Michigan State University - Department of Economics ( email )

East Lansing, MI 48824
United States
517-355-0293 (Phone)

Robert William Wassmer (Contact Author)

California State University, Sacramento - Department of Public Policy & Administration ( email )

Sacramento, CA 95819-6081
United States
916-278-6304 (Phone)
916-278-6544 (Fax)

Zachary Kuloszewski

affiliation not provided to SSRN

Register to save articles to
your library

Register

Paper statistics

Downloads
8
Abstract Views
99
PlumX Metrics