RETURNS TO SCALE IN PROPERTY ASSESSMENT: EVIDENCE FROM NEW YORK STATE’S SMALL LOCALITIES COORDINATION PROGRAM

Yusun Kim; Yilin Hou; John Yinger

doi:10.1086/723127

RETURNS TO SCALE IN PROPERTY ASSESSMENT: EVIDENCE FROM NEW YORK STATE’S SMALL LOCALITIES COORDINATION PROGRAM

Yusun Kim, Yilin Hou, John Yinger

Research output: Contribution to journal › Article › peer-review

3 Scopus citations

Abstract

New York State (NYS) incentivizes cities and towns to merge their Tax Assessor’s Offices while maintaining separate taxing authority. This paper treats cooperative agreements among small tax-assessing jurisdictions in NYS as a natural experiment to explore economies of parcel scale in property assessment. Using 2003–2014 data, we estimate these scale economies using cost-function models with control functions. Our results show consistent evidence of economies of parcel scale, holding quality constant. Local governments can save personnel, operational, and contractual costs by collaborating with nearby localities in conducting property assessments.

Original language	English (US)
Pages (from-to)	63-94
Number of pages	32
Journal	National Tax Journal
Volume	76
Issue number	1
DOIs	https://doi.org/10.1086/723127
State	Published - Mar 2023
Externally published	Yes

Keywords

cost function
economies of scale
local financial administration
property tax
value assessment

ASJC Scopus subject areas

Accounting
Finance
Economics and Econometrics

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10.1086/723127

Cite this

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title = "RETURNS TO SCALE IN PROPERTY ASSESSMENT: EVIDENCE FROM NEW YORK STATE{\textquoteright}S SMALL LOCALITIES COORDINATION PROGRAM",

abstract = "New York State (NYS) incentivizes cities and towns to merge their Tax Assessor{\textquoteright}s Offices while maintaining separate taxing authority. This paper treats cooperative agreements among small tax-assessing jurisdictions in NYS as a natural experiment to explore economies of parcel scale in property assessment. Using 2003–2014 data, we estimate these scale economies using cost-function models with control functions. Our results show consistent evidence of economies of parcel scale, holding quality constant. Local governments can save personnel, operational, and contractual costs by collaborating with nearby localities in conducting property assessments.",

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author = "Yusun Kim and Yilin Hou and John Yinger",

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AU - Kim, Yusun

AU - Hou, Yilin

AU - Yinger, John

PY - 2023/3

Y1 - 2023/3

N2 - New York State (NYS) incentivizes cities and towns to merge their Tax Assessor’s Offices while maintaining separate taxing authority. This paper treats cooperative agreements among small tax-assessing jurisdictions in NYS as a natural experiment to explore economies of parcel scale in property assessment. Using 2003–2014 data, we estimate these scale economies using cost-function models with control functions. Our results show consistent evidence of economies of parcel scale, holding quality constant. Local governments can save personnel, operational, and contractual costs by collaborating with nearby localities in conducting property assessments.

AB - New York State (NYS) incentivizes cities and towns to merge their Tax Assessor’s Offices while maintaining separate taxing authority. This paper treats cooperative agreements among small tax-assessing jurisdictions in NYS as a natural experiment to explore economies of parcel scale in property assessment. Using 2003–2014 data, we estimate these scale economies using cost-function models with control functions. Our results show consistent evidence of economies of parcel scale, holding quality constant. Local governments can save personnel, operational, and contractual costs by collaborating with nearby localities in conducting property assessments.

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KW - economies of scale

KW - local financial administration

KW - property tax

KW - value assessment

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RETURNS TO SCALE IN PROPERTY ASSESSMENT: EVIDENCE FROM NEW YORK STATE’S SMALL LOCALITIES COORDINATION PROGRAM

Abstract

Keywords

ASJC Scopus subject areas

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