State Income Migration and Border Tax Burdens

Jacob M. Feldman
2012 Social Science Research Network  
Citizens are departing high tax US states for low tax rates. These effects are particularly strong among bordering states. Each positive 1 percentage point tax burden differential between states decreases the ratio of income migration into the high tax state by 6.78 percent in a given year.
doi:10.2139/ssrn.2023511 fatcat:4vlgxribxjewnmoattvafswxta