Revenue Diversification within Metropolitan Areas: Effects on Disparities and Central City-Suburban Fiscal Relationships

As central city-suburban fiscal relationships remain strained, it is appropriate to consider the impact of increasing reliance upon local income and sales taxes within urban areas. Especially important questions in that environment include: Are tax base disparities among local units in a metropolitan area greater or less for income and sales taxes than for property taxes? Are property and non-property tax base disparities within the region additive or off-setting? Are central city-suburban fiscal relationships different under income and sales taxes from those found under property taxes? Are local income and sales taxes more or less equalizing with respect to income than property taxes?