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Fiscal Impacts of Changes in Population for Nonmetropolitan Areas of the Northeast

Published online by Cambridge University Press:  10 May 2017

William F. Fox
Affiliation:
Economic, Statistics and Cooperative Service, U.S. Department of Agriculture
Patrick J. Sullivan
Affiliation:
Economic, Statistics and Cooperative Service, U.S. Department of Agriculture
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Abstract

The recent reversal in the intraregional migration into non-metropolitan areas has generated a great deal of interest in the problems of local government finance. Of specific concern are the changes in local government expenditures and revenues that have accompanied population growth and decline and related shifts in population composition in nonmetropolitan areas of the Northeast. Using a supply and demand framework, it is argued that the approach used in previous studies of examining the relationship between growth rates and various fiscal variables leads to biased inferences regarding the impact of growth. By analyzing the impacts of changes in the socioeconomic make-up of the population which often accompany growth and decline, the study increases the understanding of fiscal strains on local governments resulting from population shifts.

Type
Articles
Copyright
Copyright © Northeastern Agricultural and Resource Economics Association 

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Footnotes

The authors wish to thank J. Norman Reid and Jerome M. Stam for comments which significantly improved this paper. Remaining errors are the responsibility of the authors.

References

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