Tax Cap 2000: Five Economic Studies

Abstract

Passage of the tax cap would result in a substantial shift in purchasing power away from local government toward households, the federal government, state government, certain businesses, and non-residents. It would reduce the cost of owning property and impact the price of real estate. It would change the way local government finances public services. It would change the quality of life. Whether one views these economic changes as positive or negative depends on them perspective of the viewer. Clearly the tax cap would have far reaching economic effects that should be carefully considered before deciding whether it would be good or bad for the economy.