The effect of business taxation on the location of industry

A theoretical and econometric model is specified which permits the estimation of the effect of local taxes on economic activity in a locality. A location elasticity of ?0.35 is found for manufacturing activity in New York City with respect to business taxes, while no significant elasticity is found for nonmanufacturing activity. The deadweight losses and revenue effects of the tax are analyzed and calculated, as are the optimal second-best taxes for a locality.     

OFFICIAL CRIME STATISTICS: THEIR USE AND INTERPRETATION

In this paper we consider the data used by economists to estimate economic models of crime. We discuss the main sources of Official Crime Statistics in the United Kingdom, Europe and the United States, and raise questions about the reliability of these data for estimation and forecasting purposes. In particular, we focus on the disparity between crime rates suggested by victimisation surveys and the rates suggested by Official Statistics, and show that this is primarily a consequence of under-reporting by victims and under-recording by the police. We conclude our analysis by considering the factors that influence the under-reporting of crime.     

Imposing curvature restrictions on flexible functional forms

A general computational method for estimating the parameters of a flexible functional form subject to convexity, quasi-convexity, concavity, or quasi-concavity at a point, at several points, or over a region, is set forth and illustrated with an example.