McPhail, Joseph E.; Orazem, Peter F.; Singh, Rajesh Kumar - Iowa State University of Science and Technology <Ames, … - 2010
labor productivity can persist. First, state tax policies persist with little changein the taxes imposed over time. Second …, sales, property, and capital income taxes will all lowerequilibrium labor productivity in the context of a neoclassical … growth model. The most negative effectsoccur at the highest marginal tax rates. These theoretical predictions are supported …