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Friday, 6 March 2015

Another example of fiscal illusion can be seen in local property tax politics.

http://en.wikipedia.org/wiki/Fiscal_illusion

Another example of fiscal illusion can be seen in local property tax politics. Here renters, who do not pay local property taxes directly, may vote for an expansion of local government services. Fiscal illusion theory suggests they support this policy because its cost is masked by its roundabout nature (through an increase in their rent payments).

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