The regional voting pattern of the Swedish EU-membership referendum is analyzed to determine voters' preferences over two fiscal regimes: an autonomous Sweden, or Sweden as part of the EU. A major difference between these regimes is that autonomy gives greater national discretion to handle risk-sharing and redistribution between regions. I find that inhabitants of rich and stable regions, with high levels of schooling, small receipts of central government transfers, and trade relations displaying comparative advantages towards the EU were relatively positive to membership. A plausible interpretation is thus that voters in safe and rich regions voted in favor of dismantling the Swedish transfer system.
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Paper provided by Research Institute of Industrial Economics in its series Working Paper Series with number
594.
Length: 19 pages Date of creation: 04 May 2003 Date of revision: Handle: RePEc:hhs:iuiwop:0594
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Find related papers by JEL classification: F15 - International Economics - - Trade - - - Economic Integration H11 - Public Economics - - Structure and Scope of Government - - - Structure and Scope of Government H70 - Public Economics - - State and Local Government; Intergovernmental Relations - - - General
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