| Sumario: | The writers employ new estimates of metropolitan factor demand and output supply functions to examine how federal, state, and local fiscal policies impact on metropolitan economies. Findings from ten metropolitan areas in five states relating to changes in state corporate income taxes, local property taxes, the federal corporate income tax, an investment tax credit, interest rates, public capital stocks, output prices, and tax and regulatory policies affecting gross wages are presented. It is evident from these simulations that a policy that is nominally the same in all locations will have implications that differ widely across regions and cities.
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