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In other words, state and local taxes are capitalized into salaries, with teams in high-tax jurisdictions forced to offer higher pretax salaries.
Further, we find that such differences are capitalized into residential property values.
We test for evidence that energy efficiency features are capitalized into home prices in three U.S. metropolitan areas.
Further, using an instrumental variable estimator we document that around 18% of expected wind turbine profits are capitalized into land prices.
Efforts to estimate the degree to which local property taxes are capitalized into house values are complicated by any spurious correlation between property taxes and unobserved public services.
The net benefits of building codes are capitalized into land rents which, in turn, require responses in the design of optimal codes.
Similar(54)
A major reason is that the deduction has long been capitalized into the prices of homes.
For one thing, the value of these deductions and exclusions is capitalized into prices.
This would almost certainly happen if the mortgage interest deduction were abolished, because its value is capitalized into home prices — people are willing to pay higher prices and can afford larger mortgage payments due to interest deductibility.
The tax savings ended up being capitalized into even higher home prices.
Living in close proximity to the Bay improves access to these amenities and should be capitalized into local housing markets.
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Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com