Fausto Hernández Trillo (Centro de Investigación y Docencia Económicas Author-Name: Brenda Jarillo Rabling, Centro de Investigación y Docencia Económicas)
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This article tries to determine whether federal transfers called FISM are distributed in a redistributive manner. We use the Municipal Mayors National Survey (2002) in a two step- GMM model. Empirical results suggest that although these transfers are redistributive, there is still a discretionary room. That is these transfers could be more redistributive. The discretionary room is associated to population, which in turn is related with electoral vote. Thus, there is some political variable in the distribution of this Fund.
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Article provided by El Colegio de México, Centro de Estudios Económicos in its journal Estudios Económicos.
Find related papers by JEL classification: H77 - Public Economics - - State and Local Government; Intergovernmental Relations - - - Intergovernmental Relations; Federalism R51 - Urban, Rural, and Regional Economics - - Regional Government Analysis - - - Finance in Urban and Rural Economies O23 - Economic Development, Technological Change, and Growth - - Development Planning and Policy - - - Fiscal and Monetary Policy in Development
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