The authors would like to thank David Kababik and Mirabel Chen for research assistance as well as Michael Lahr, James McConnon, Daniel Bowen, John Clapp, John McCarty, three anonymous referees, and Mark Partridge for helpful comments.
THE EFFECT OF WALMART AND TARGET ON THE TAX BASE: EVIDENCE FROM NEW JERSEY†
Version of Record online: 8 APR 2014
© 2014 Wiley Periodicals, Inc.
Journal of Regional Science
Volume 55, Issue 2, pages 159–187, March 2015
How to Cite
Vandegrift, D. and Loyer, J. (2015), THE EFFECT OF WALMART AND TARGET ON THE TAX BASE: EVIDENCE FROM NEW JERSEY. Journal of Regional Science, 55: 159–187. doi: 10.1111/jors.12122
- Issue online: 3 MAR 2015
- Version of Record online: 8 APR 2014
- Manuscript Revised: FEB 2014
- Manuscript Accepted: FEB 2014
- Manuscript Received: DEC 2012
We find that a new Walmart has no significant effect on the growth in the tax base in either the host or the adjacent municipality. By contrast, a new Target has a significant positive effect on the growth in the tax base per acre in the host municipality and in the adjacent municipality. The new Target raises the real tax base per acre in the host municipality by about 2.82 percent and in the adjacent municipality by about 5.87 percent. Seventy percent of the host municipality effect follows from changes in the nonresidential tax base.