We investigated the dynamic relationships between tax structures and economic growth in Japan by means of a vector error correction model (VECM), under the assumption of tax revenue neutrality (see Shinohara (2014b)). This paper examines the relationship between local tax structures and regional economic growth on the base of Shinohara (2014b): assuming tax revenue neutrality, we examine the effects of local tax structures on regional economic growth for the case of the Tokyo Metropolitan Area from 1960 onward
