Economics

​Sales tax holidays
Consumers buy many things
‘Tis mostly timing
​
Adam J. Cole
University of Michigan

​Dissertation Title – “Sales Tax Holidays: Timing Behavior and Tax Incidence” (2009)
Sales tax holidays are brief periods of time during which state sales tax and sometimes local sales taxes are not levied on a set of goods, typically clothing, footwear, and school supplies. I utilize the transitory reduction in the sales tax base to estimate the incidence of the sales tax and the timing behavior of consumer purchases.