TY  - JOUR
AU  - Besley,Timothy
AU  - Case,Anne
TI  - Incumbent Behavior: Vote Seeking, Tax Setting and Yardstick Competition
JF  - National Bureau of Economic Research Working Paper Series
VL  - No. 4041
PY  - 1992
Y2  - March 1992
UR  - http://www.nber.org/papers/w4041
L1  - http://www.nber.org/papers/w4041.pdf
N1  - Author contact info:
Anne Case
367 Wallace Hall
Princeton University
Princeton, NJ 08544
Tel: 609/258-2177
Fax: 609/258-5974
E-Mail: accase@princeton.edu
AB  - This paper presents a theoretical and empirical investigation of tax competition when voters use the tax policy of neighboring jurisdictions as information to evaluate the performance of their incumbent politicians. We show that this has implications both for voter tolerance of high taxes and for the process of tax setting itself, Our empirical results, which use two different tax data sets, confirm the importance of neighbors' taxes both on the probability of incumbent reelection and on tax setting behavior.
ER  -