Least Squares Regression Parameter Estimates for Federal and State Taxes

Explanatory Variables

Federal Taxes

State Taxes

INTERCEPT

6.30***

4.5***

LTHS

-1.02***

-1.47***

SC2YR

0.51***

0.62***

BAORMORE

1.00***

1.25***

AGE

0.35***

0.48***

AGE²

-1.88*

-3.42**

GENDER

-0.28***

-0.39***

RACE

0.30*

0.36*

Note: *** indicates significance at the 1 percent level, ** indicates significance at the 5 percent level and * indicates significance at the 10 percent level in a one-tailed test.