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Density lowers per capita infrastructure cost, but it also decreases tax revenues per capita. High density cities have to support the infrastructure used by com

by ahi 17y ago

Density lowers per capita infrastructure cost, but it also decreases tax revenues per capita. High density cities have to support the infrastructure used by commuters but can only capture a little of their tax value. During the day DC's population nearly doubles so they have to provide infrastructure for 1,000,000 people with a tax base of 600,000.

ghshephard 17y ago
...Except for the fact that in California, with the inability to increase Property Taxes quickly (Thank you Prop 13), an inordinate amount of revenue actually comes from commercial taxes (Sales Taxes being a large one). As a result, counties engage in a game of _discouraging_ residential zoning, and encouraging commercial zoning. I'll find a citation. [Edit - http://www.caltax.org/MEMBER/digest/feb2000/feb00-4.htm http://www.caltax.org/MEMBER/digest/feb2000/feb00-4.htm - See: What are some of these side effects? ]