Document Type
Working Paper
Publication Date
5-2015
College/Unit
Chambers College of Business and Economics
Document Number
15-13
Department/Program/Center
Economics
Abstract
The existing literature studying the relationship between small business activity and U.S. state tax policy has focused primarily on a few measures of small business. We expand this literature by estimating the effect of state tax policy on small businesses by using a broader measures of small business activity using a longitudinal dataset for the U.S. states. We also estimate the relationship between state tax policy and large business activity. Results provide evidence that state tax policy can influence small business firm, establishment, payroll, and employment growth in important ways but provide limited evidence that such policy significantly influences large business growth.
Digital Commons Citation
Borches, Erin; Deskins, John; and Ross, Amanda, "Can State Tax Policies Be Used to Grow Small and Large Businesses?" (2015). Economics Faculty Working Papers Series. 146.
https://researchrepository.wvu.edu/econ_working-papers/146