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Experimental evidence about property tax word aversion

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  • Eric J. Brunner
  • Mark D. Robbins
  • Bill Simonsen

Abstract

A small but growing literature suggests that simply using the word “tax” can create a visceral negative reaction among citizens. We tested tax word aversion using a representative sample of US residents who are randomly placed into experimental conditions and asked parallel questions about their support for services (approval of a tax increase or a revenue increase). The only difference between the two questions is the word “tax.” We find that the use of the word “tax” lowers support by about six and eight percentage points for fire and school services, respectively. This direct test of tax word aversion is based on a strong experimental design and a sufficient number of observations (over 4000) that allow for precise impact estimates.

Suggested Citation

  • Eric J. Brunner & Mark D. Robbins & Bill Simonsen, 2021. "Experimental evidence about property tax word aversion," Public Budgeting & Finance, Wiley Blackwell, vol. 41(4), pages 50-70, December.
  • Handle: RePEc:bla:pbudge:v:41:y:2021:i:4:p:50-70
    DOI: 10.1111/pbaf.12284
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    References listed on IDEAS

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    Cited by:

    1. Marvin Phaup, 2022. "Federal budget process reform: An economics perspective, with imperfect, “Human” decision‐makers," Public Budgeting & Finance, Wiley Blackwell, vol. 42(3), pages 114-130, September.

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