State Tax Rates Are Not A Factor In Migration Between States

This article (via Mark Thoma) examines the migration myth raised in Greg Manikiw's op-ed. A conservative funded organization (ALEC) made the same point that Mankiw made in his op-ed. it argues that people will vote with their feet and migrate from high tax states to low tax states. Mankiw, claims that this kind of competition between states is an efficient market like that faced by most businesses. The data indicates that some people may migrate for that reason but that it is not common. There are more important factors that determine where someone chooses to live. Moreover, there has been migration from low tax states to high tax states.