THE EFFECT OF WALMART AND TARGET ON THE TAX BASE: EVIDENCE FROM NEW JERSEY

Donald Vandegrift () and John Loyer

Journal of Regional Science, 2015, vol. 55, issue 2, 159-187

Abstract: type="main">

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.

Date: 2015
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