We estimate the degree to which local property taxes are capitalized into house prices using administrative data from the Dallas Central Appraisal District (DCAD) from 2014 to 2016. Capitalization rates are measured using a hedonic price regression model. To control for unobservable neighborhood characteristics, we employ a border discontinuity research design, restricting our sample to homes within half-mile blocks of jurisdictions boundaries. With respect to school district taxes, we estimate that more than 70 percent of the increase in the present value of property tax liabilities resulting from a tax increase is capitalized into current house prices. The null hypothesis of full capitalization cannot be rejected. For city taxes, capitalization rates are even larger. We also estimate the willingness to pay for public schools, finding that a one standard deviation increase in test scores results in a roughly four-percent increase in house prices.

我们使用2014年至2016年达拉斯中央评估区（DCAD）的行政数据估算将地方财产税资本化为房价的程度。资本化率使用享乐价格回归模型进行衡量。为了控制无法观察到的邻里特征，我们采用边界不连续性研究设计，将我们的样本限制在辖区边界的半英里范围内的房屋。关于学区税，我们估计因税收增加而导致的财产税负债现值增加的70％以上会被资本化为当前房价。完全资本化的零假设不能被拒绝。对于城市税，资本化率甚至更高。我们还估算了支付公立学校的费用的意愿，