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The Political Determinants of Federal Expenditure at the State Level

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Author Info
Gary Hoover
Paul Pecorino ()

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Abstract

It has been shown that states with higher per capita senate representation have higher federal spending per capita (Atlas, C. M., Gilligan, T. A., Hendershott, R. J. and Zupan, M. A. (1995). American Economic Review 85: 624–629). With a more recent data sample, more highly disaggregated data and a different set of political control variables, we are able to confirm the main result of Atlas et al. that per capita senate representation is positively related to federal expenditure. This effect is strongest for procurement expenditures. By contrast, we do not find support for their result that spending increases with per capita representation in the House of Representatives. Several other political variables are found to be significant in a subset of the expenditure equations. Copyright Springer Science + Business Media, Inc. 2005

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Publisher Info
Article provided by Springer in its journal Public Choice.

Volume (Year): 123 (2005)
Issue (Month): 1 (April)
Pages: 95-113
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Handle: RePEc:kap:pubcho:v:123:y:2005:i:1:p:95-113

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References listed on IDEAS
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  1. Levitt, Steven D & Poterba, James M, 1999. " Congressional Distributive Politics and State Economic Performance," Public Choice, Springer, vol. 99(1-2), pages 185-216, April. [Downloadable!] (restricted)
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  2. Wright, Gavin, 1974. "The Political Economy of New Deal Spending: An Econometric Analysis," The Review of Economics and Statistics, MIT Press, vol. 56(1), pages 30-38, February. [Downloadable!] (restricted)
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  1. Larcinese, Valentino & Rizzo, Leonzio & Testa, Cecilia, 2007. "Do Small States Get More Federal Monies? Myth and Reality about the US Senate Malapportionment," MPRA Paper 5339, University Library of Munich, Germany. [Downloadable!]
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