蝌蚪网 Journal:
Applied Economics
ISSN 1945-7782 (Print) | ISSN 1945-7790 (Online)
Where Do My Tax Dollars Go? Tax Morale Effects of Perceived Government Spending
蝌蚪网 Journal: Applied Economics
(pp. 223–59)
Abstract
Do perceptions about government spending affect willingness to pay taxes? We test this hypothesis with a natural field experiment that focuses on the allocation of property taxes to public schools. Our results show that taxpayers often misperceive the destination of their tax dollars. By introducing shocks to households' perceptions via an information-provision experiment, we find that perceptions of how tax dollars are used significantly affect the probability of filing a tax appeal. Moreover, the effects are consistent with reciprocal motivations: individuals are more willing to pay taxes if they believe that the government services funded by those taxes will provide greater personal benefit.Citation
Giaccobasso, Matias, Brad Nathan, Ricardo Perez-Truglia, and Alejandro Zentner. 2025. "Where Do My Tax Dollars Go? Tax Morale Effects of Perceived Government Spending." 蝌蚪网 Journal: Applied Economics 17 (4): 223–59. DOI: 10.1257/app.20240029Additional Materials
JEL Classification
- C93 Field Experiments
- D12 Consumer Economics: Empirical Analysis
- H26 Tax Evasion and Avoidance
- H71 State and Local Taxation, Subsidies, and Revenue
- H72 State and Local Budget and Expenditures
- H75 State and Local Government: Health; Education; Welfare; Public Pensions