National Tax Journal articles from December 1 1991

National Tax Journal archives from December 1 1991

Innovations in tax-exempt instruments and transactions. (Proceedings of a Conference on the Tax-Exempt Bond Market)
December 1, 1991... The article first provides a brief description of major developments in the municipal bond market over the last decade that have caused changes in the design of instruments and the nature of transactions. After reviewing the nature of risk and...

Private guarantees for municipal bonds: evidence from the aftermarket. (Proceedings of a Conference on the Tax-Exempt Bond Market)
December 1, 1991... This paper considers the market for private guarantees for municipal debt. It reviews the empirical evidence on the effects of insurance upon the pricing of new issues. It also presents the first empirical evidence available on the effects of...

Credit risk, credit ratings, and municipal bond yields: a panel study. (Proceedings of a Conference on the Tax-Exempt Bond Market)
December 1, 1991... This paper uses a panel data set of general obligation bond issues to examine the channels through which a municipality's credit quality affects its borrowing rate. The paper considers both the direct effect of changes in credit quality on...

The role of federal taxation in the supply of municipal bonds: evidence from municipal governments. (Proceedings of a Conference on the Tax-Exempt Bond Market)
December 1, 1991... This paper considers ways in which federal tax policy affects municipal asset and debt holdings. The tax treatment of municipal bonds and income creates an arbitrage opportunity for communities to issue tax-exempt debt and invest in financial...

Do tax-exempt bonds really subsidize municipal capital? (Proceedings of a Conference on the Tax-Exempt Bond Market)
December 1, 1991... ROGER H. GORDON(*1) AND GILBERT E. METCALF(**2) ABSTRACT We argue that the tax-exempt status of municipal bonds provides little or no subsidy to capital investment by communities. Instead, the tax exemption simply provides arbitrage...

Effects of federal volume caps on state and local borrowing. (Proceedings of a Conference on the Tax-Exempt Bond Market)
December 1, 1991... The Tax Reform Act of 1986 imposed state-by-state limitations on the issuance of most private activity tax-exempt bonds. In 1990, these bonds accounted for about one-third of total tax-exempt bonds issued by state and local government. ...

Which households own municipal bonds? Evidence from tax returns. (Proceedings of a Conference on the Tax-Exempt Bond Market)
December 1, 1991... This paper uses data from 1988 federal income tax returns, which asked taxpayers to report their tax-exempt interest income as an information item, to analyze the distribution of tax-exempt asset holdings. More than three quarters of the...

Bond market conditions and state-local capital spending. (Proceedings of a Conference on the Tax-Exempt Bond Market)
December 1, 1991... DOUGLAS HOLTZ-EAKIN(*1) ABSTRACT The municipal bond market finances state and local government capital outlays, thus transmitting policy actions (particularly tax-exemption) to affect state-local investment. How important is...

Public capital formation and the growth of regional manufacturing industries. (Proceedings of a Conference on the Tax-Exempt Bond Market)
December 1, 1991... CHARLES R. HULTEN(*) AND ROBERT M. SCHWAB(**) ABSTRACT Our purpose in this paper is to provide new estimates of the link between public infrastructure and economic performance by extending and updating our earlier work on regional...