Tax Policy And The Economy, Volume 16 (nber Tax Policy And The Economy)

TAX POLICY AND THE ECONOMY 16 edited by James M. Poterba National Bureau of Economic Research The MIT Press, Cambridge, Massachusetts Tax Policy and the Economy, Volume 16, 2002 ISSN: 9892-8649 E-ISSN: 1537-2650 ISBN: Hardcover 0-262-16210-5 Paperback 0-262-66129-2 Published annually by The MIT Press, Cambridge, Massachusetts 02142 An electronic, full-text version of Tax Policy and the Economy is available from MIT Press Journals when purchasing a subscription. Subscription Rates Hardcover/Print and Electronic: $58.00 Paperback/Print and Electronic: $25.00 Outside the U.S. and Canada add $10.00 for postage and handling. Canadians add 7% GST. Subscription and address changes should be addressed to: MiT Press Journals, Five Cambridge Center, Cambridge, MA 02142-1407, phone 617253-2889; fax 617-577-1545; email [email protected] Claims wifi be honored free of charge if made within three months of the publication date of the issue. Claims may be submitted to [email protected] Prices are subject to change without notice. In the United Kingdom, continental Europe, and the Middle East and Africa, send back volume orders and business correspondence to: The MIT Press, Ltd., Fitzroy House, 11 Chenies Street, London WC1E 7ET England, phone 44-020-7306-0603, fax 44-020-7306-0604, email [email protected] In the United States and for all other countries, send single copy and back volume orders to: The MIT Press, Five Cambridge Center, Cambridge, MA 02142, toll-free book orders 800-356-0343, fax 617-625-6660, email [email protected] Copyright Information Permission to photocopy articles for internal or personal use, or the internal or personal use of specific clients, is granted by the copyright owner for users registered with the Copyright Clearance Center (CCC) Transactional Reporting Service, provided that the fee of $10.00 per copy is paid directly to CCC, 222 Rosewood Drive, Danvers, MA 01923. The fee code for users of the Transactional Reporting Service is: 9892-8649/02 $10.00. For those organizations that have been granted a photocopy license with CCC, a separate system of payment has been arranged. © 2002 by the National Bureau of Economic Research and the Massachusetts Institute of Technology. NBER BOARD OF DIRECTORS BY AFFILIATION Officers: Carl F. Christ, Chairman Michael H. Moskow, Vice Chairman Martin Feldstein, President and Chief Robert Mednick, Treasurer Kelly Horak, Controller and Assistant Executive Officer Gerardine Johnson, Assistant Corporate Secretary Susan Colligan, Vice President for Administration and Budget and Corporate Secretary Corporate Secretary Directors at Large: Peter C. Aldrich Elizabeth E. Bailey John H. Biggs Andrew Brimmer Carl F. Christ John S. Clarkeson Don R. Conlan George C. Eads Martin Feldstein Stephen Friedman Judith M. Gueron George Hatsopoulos Karen N. Horn Judy C. Lewent Joh