Yardstick competition: which neighbours matter?
AbstractThis paper aims at testing the existence of yardstick competition by estimating a fully specified vote-function on a panel data set of 104 French local governments from 1989 to 2001. When comparing the performance of their incumbent to the one of their "neighbours", voters might consider their close geographical neighbours but also the nearby cities that are similar according to some socio-economic characteristics such as population size. The estimation results show that voters sanction their incumbent if their own local housing tax is high. Moreover, we find that voters reward their incumbent when neighbouring cities that are similar in terms of demographic characteristics have high local taxes.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.
Bibliographic InfoArticle provided by Springer in its journal The Annals of Regional Science.
Volume (Year): 44 (2010)
Issue (Month): 3 (June)
Contact details of provider:
Web page: http://link.springer.de/link/service/journals/00168/index.htm
More information through EDIRC
Other versions of this item:
- H2 - Public Economics - - Taxation, Subsidies, and Revenue
- H3 - Public Economics - - Fiscal Policies and Behavior of Economic Agents
- H7 - Public Economics - - State and Local Government; Intergovernmental Relations
- D72 - Microeconomics - - Analysis of Collective Decision-Making - - - Political Processes: Rent-seeking, Lobbying, Elections, Legislatures, and Voting Behavior
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Peltzman, Sam, 1990.
"How Efficient Is the Voting Market?,"
Journal of Law and Economics,
University of Chicago Press, vol. 33(1), pages 27-63, April.
- Sam Peltzman, 1988. "How Efficient Is the Voting Market?," University of Chicago - George G. Stigler Center for Study of Economy and State 53, Chicago - Center for Study of Economy and State.
- Timothy Besley & Anne Case, 1992.
"Incumbent Behavior: Vote Seeking, Tax Setting and Yardstick Competition,"
NBER Working Papers
4041, National Bureau of Economic Research, Inc.
- Besley, Timothy & Case, Anne, 1995. "Incumbent Behavior: Vote-Seeking, Tax-Setting, and Yardstick Competition," American Economic Review, American Economic Association, vol. 85(1), pages 25-45, March.
- Federico Revelli, 2005. "On Spatial Public Finance Empirics," International Tax and Public Finance, Springer, vol. 12(4), pages 475-492, August.
- Case, Anne C. & Rosen, Harvey S. & Hines, James Jr., 1993. "Budget spillovers and fiscal policy interdependence : Evidence from the states," Journal of Public Economics, Elsevier, vol. 52(3), pages 285-307, October.
- Suzuki, Motoshi, 1994. " Evolutionary Voter Sophistication and Political Business Cycles," Public Choice, Springer, vol. 81(3-4), pages 241-61, December.
- Eric Dubois & Matthieu Leprince & Sonia Paty, 2007.
"The Effects of Politics on Local Tax Setting: Evidence from France,"
UniversitÃ© Paris1 PanthÃ©on-Sorbonne (Post-Print and Working Papers)
- Eric Dubois & Matthieu Leprince & Sonia Paty, 2007. "The Effects of Politics on Local Tax Setting: Evidence from France," Urban Studies, Urban Studies Journal Limited, vol. 44(8), pages 1603-1618, July.
- Eric Dubois & Matthieu Leprince & Sonia Paty, 2007. "The effects of politics on local tax setting : evidence from France," Working Papers 250926, Institut National de la Recherche Agronomique, France.
- Núria Bosch & Albert Solé, 2004.
"Yardstick competition and the political costs of raising taxes: An empirical analysis of Spanish municipalities,"
2004/5, Institut d'Economia de Barcelona (IEB).
- Núria Bosch & Albert Solé-Ollé, 2007. "Yardstick competition and the political costs of raising taxes: An empirical analysis of Spanish municipalities," International Tax and Public Finance, Springer, vol. 14(1), pages 71-92, February.
- Frey, Bruno S & Schneider, Friedrich, 1978. "A Politico-Economic Model of the United Kingdom," Economic Journal, Royal Economic Society, vol. 88(350), pages 243-53, June.
- Anthony Downs, 1957. "An Economic Theory of Political Action in a Democracy," Journal of Political Economy, University of Chicago Press, vol. 65, pages 135.
- Peltzman, Sam, 1987. "Economic Conditions and Gubernatorial Elections," American Economic Review, American Economic Association, vol. 77(2), pages 293-97, May.
- Massimo Bordignon & Floriana Cerniglia & Federico Revelli, 2002. "In Search for Yardstick Competition: Property Tax Rates and Electoral Behavior in Italian Cities," CESifo Working Paper Series 644, CESifo Group Munich.
- Anne Case, 1993. "Interstate tax competition after TRA86," Journal of Policy Analysis and Management, John Wiley & Sons, Ltd., vol. 12(1), pages 136-148.
- Revelli, Federico, 2002. "Local taxes, national politics and spatial interactions in English district election results," European Journal of Political Economy, Elsevier, vol. 18(2), pages 281-299, June.
- Antoine Auberger & Eric Dubois, 2005.
"The influence of local and national economic conditions on French legislative elections,"
Springer, vol. 125(3), pages 363-383, December.
- Antoine Auberger & Eric Dubois, 2005. "The Influence of Local and National Economic Conditions on French Legislative Elections," UniversitÃ© Paris1 PanthÃ©on-Sorbonne (Post-Print and Working Papers) hal-00800638, HAL.
- Chappell, Henry W, Jr, 1983. "Presidential Popularity and Macroeconomic Performance: Are Voters Really So Naive?," The Review of Economics and Statistics, MIT Press, vol. 65(3), pages 385-92, August.
- Jan Vermeir & Bruno Heyndels, 2006. "Tax policy and yardstick voting in Flemish municipal elections," Applied Economics, Taylor & Francis Journals, vol. 38(19), pages 2285-2298.
- Alvarez, Michael R. & Saving, Jason, 1995. "Deficits, Democrats, and Distributive Benefits: Congressional Elections and the Pork Barrel in the 1980s," Working Papers 928, California Institute of Technology, Division of the Humanities and Social Sciences.
- Cassette, Aurélie & Farvaque, Etienne, 2014.
"Are elections debt brakes? Evidence from French municipalities,"
Elsevier, vol. 122(2), pages 314-316.
- Caseette, Aurélie & Farvaque, Etienne, 2013. "Are Elections Debt Brakes? Evidence from French Municipalities," MPRA Paper 48808, University Library of Munich, Germany.
- Enlinson Mattos & Ricardo Politi, 2014. "Pro-poor tax policy and yardstick competition: a spatial investigation for VAT relief on food in Brazil," The Annals of Regional Science, Springer, vol. 52(1), pages 279-307, January.
- Maria Teresa Balaguer-Coll & María Isabel Brun-Martos & Anabel Forte & Emili Tortosa-Ausina, 2014. "Determinants of local governments' reelection: New evidence based on a Bayesian approach," Working Papers 2014/06, Economics Department, Universitat Jaume I, Castellón (Spain).
- Chiara Dalle Nogare & Matteo Galizzi, 2011.
"The political economy of cultural spending: evidence from Italian cities,"
Journal of Cultural Economics,
Springer, vol. 35(3), pages 203-231, August.
- Chiara Dalle Nogare & Matteo M Galizzi, 2008. "The Political Economy of Cultural Spending: Evidence from Italian Cities," Working Papers 0818, University of Brescia, Department of Economics.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Guenther Eichhorn) or (Christopher F Baum).
If references are entirely missing, you can add them using this form.