Energy development: initial effects on government revenues
Technical Report
·
OSTI ID:5262015
Energy development can cause shortrun financial problems for local governments. Although such development produces some additional tax revenues, these revenues are usually much lower during early development stages than after the energy-producing operation begins. This creates an early shortrun imbalance between government revenues and expenditures. State and federal loans, impact aid for operating expenses, and grants ease such financial problems. The ENERGYTAX simulation model is used to illustrate this problem, tracing the time-path of new local revenues from a coal mine, an electric generating plant, and a combination of the two for developments in Montana, North Dakota, and Wyoming.
- Research Organization:
- Economic Research Service, Washington, DC (USA). Economic Development Div.
- OSTI ID:
- 5262015
- Report Number(s):
- WRDC-15; ON: DE84900853
- Country of Publication:
- United States
- Language:
- English
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