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Public employment and regional redistribution in Spain

Author

Listed:
  • José Manuel Marqués Sevillano

    (Universitat Illes Balears)

  • Joan Rosselló Villallonga

    (Universitat Illes Balears)

Abstract

We study the determinants, beyond the process of decentralisation, of the regional allocation of public jobs by the Central Government and the increase in the number of public employees at the Regional Governments in Spain during 1990-1999. Using standard panel data econometric procedures we show that the Central Government might have been increasing the number of public jobs in those regions with lower levels of GDP per capita. Also we show that the number of public employees is larger in those regions in which there has been a coincidence between the political orientation of the ruling parties in the Regional and Central Governments. Finally, we find that political variables might explain part of the increase in the number of public employees in the Regional Governments, together with the process of decentralisation and GDPpc.

Suggested Citation

  • José Manuel Marqués Sevillano & Joan Rosselló Villallonga, 2004. "Public employment and regional redistribution in Spain," Hacienda Pública Española / Review of Public Economics, IEF, vol. 170(3), pages 59-80, september.
    • Handle: RePEc:hpe:journl:y:2004:v:170:i:3:p:59-80
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    References listed on IDEAS

    as
    1. Alesina, Alberto & Baqir, Reza & Easterly, William, 2000. "Redistributive Public Employment," Journal of Urban Economics, Elsevier, vol. 48(2), pages 219-241, September.
    2. Alberto Alesina & Silvia Ardagna & Roberto Perotti & Fabio Schiantarelli, 2002. "Fiscal Policy, Profits, and Investment," American Economic Review, American Economic Association, vol. 92(3), pages 571-589, June.
    3. Albert Alesina & Stephan Danninger & Massimo Rostagno, 2001. "Redistribution Through Public Employment: The Case of Italy," IMF Staff Papers, Palgrave Macmillan, vol. 48(3), pages 1-2.
    4. repec:hrv:faseco:3353756 is not listed on IDEAS
    Full references (including those not matched with items on IDEAS)

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    Cited by:

    1. Jofre-Monseny, Jordi & Silva, José I. & Vázquez-Grenno, Javier, 2020. "Local labor market effects of public employment," Regional Science and Urban Economics, Elsevier, vol. 82(C).
    2. Jorge Martinez-Vazquez & Ming-Hung Yao, 2009. "Fiscal Decentralization and Public Sector Employment," Public Finance Review, , vol. 37(5), pages 539-571, September.
    3. Pessino, Carola & Izquierdo, Alejandro & Vuletin, Guillermo, 2018. "Better Spending for Better Lives: How Latin America and the Caribbean Can Do More with Less," IDB Publications (Books), Inter-American Development Bank, number 9152.
    4. Jorge Martinez-Vazquez & Ming-Hung Yao, 2009. "Fiscal Decentralization and Public Sector Employment: A Cross-Country Analysis," International Center for Public Policy Working Paper Series, at AYSPS, GSU paper0903, International Center for Public Policy, Andrew Young School of Policy Studies, Georgia State University.
    5. Akalbeo, Benard & Martinez-Vazquez, Jorge & Yedgenov, Bauyrzhan, 2023. "Fiscal decentralization and structural versus cyclical unemployment levels," European Journal of Political Economy, Elsevier, vol. 80(C).

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    More about this item

    Keywords

    Public Employment; Regional Redistribution; Fiscal Policy Instruments;
    All these keywords.

    JEL classification:

    • H0 - Public Economics - - General
    • H1 - Public Economics - - Structure and Scope of Government

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