TRADE-OFFS BETWEEN SEVERANCE TAX REVENUES AND COAL MINING EMPLOYMENT

Jill L. Findeis and James Shortle

Northeastern Journal of Agricultural and Resource Economics, 1985, vol. 14, issue 2, 8

Abstract: A severance tax can provide local jurisdictions with additional revenues to finance economic development, yet the imposition of a tax may create coal industry employment losses. This research analyzes this issue by examining the demand for Pennsylvania steam coal, providing estimates of the unconditional own-price elasticities of demand for coal in each of two demand regions. These estimates in conjunction with labor/output coefficient estimates are used to determine the extent to which coal employment in a region already witnessing slow mining industry growth will be negatively affected.

Keywords: Labor and Human Capital; Public Economics (search for similar items in EconPapers)
Date: 1985
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Persistent link: https://EconPapers.repec.org/RePEc:ags:nejare:28942

DOI: 10.22004/ag.econ.28942

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