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Local Government Tax Policy: Measuring the Efficiency of New York City's Tax Mix, FYs 1984-1998
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Local Government Tax Policy: Measuring the Efficiency of New York City's Tax Mix, FYs 1984-1998

Janine Berg, John Tepper Marlin and Farid Heydarpour
Public Budgeting & Finance, Vol.20(2), pp.1-14
2000

Abstract

This article applies the Markowitz portfolio model to New York City's tax mix to determine whether it is ‘mix-efficient,’ in the sense that the portfolio minimizes volatility for given levels of growth. The results indicate that New York City's tax-revenue portfolio is very close to being mix-efficient. The analysis also extends the Markowitz portfolio model to consider the impact on growth and volatility of adopting a tax-equity constraint.
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https://onlinelibrary.wiley.com/doi/abs/10.1111/0275-1100.00008View

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