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Passing school building tax levies may increase teacher salary

David Brasington ()

Economics Letters, 2018, vol. 163, issue C, 87-89

Abstract: We examine 4000 votes on school district tax levies for capital expenditures in Ohio over 24 years. We find that passing school building tax levies increases average teacher salaries by 1%. The effects are generally present one through three years after levy passage. Quantile regression shows that teachers already in the highest-paid districts receive even larger salary increases than teachers in lower-paid districts. This may be the first regression discontinuity capital expenditures study to look specifically at teacher salary or use quantile regression.

Keywords: School finance; Regression discontinuity; Capital expenditures; School inputs; Property tax (search for similar items in EconPapers)
JEL-codes: H41 H71 I21 I22 R51 (search for similar items in EconPapers)
Date: 2018
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DOI: 10.1016/j.econlet.2017.12.004

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