Public Goods in a Voluntary Federal Union: Implications of a Participation Constraint
AbstractThis paper re-examines the question of whether federal ex-post redistribution in terms of public funds leads to under-provision of public goods by adding the assumption that the member states are free to leave the economic federation. We show that federal ex-post redistribution no longer necessarily means under-provision of local and federal public goods.
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Bibliographic InfoPaper provided by Umeå University, Department of Economics in its series Umeå Economic Studies with number 850.
Length: 7 pages
Date of creation: 18 Oct 2012
Date of revision:
Contact details of provider:
Postal: Department of Economics, Umeå University, S-901 87 Umeå, Sweden
Phone: 090 - 786 61 42
Fax: 090 - 77 23 02
Web page: http://www.econ.umu.se/
More information through EDIRC
Public goods; fiscal federalism; ex-post redistribution;
Other versions of this item:
- Aronsson, Thomas & Micheletto, Luca & Sjögren, Tomas, 2012. "Public Goods in a Voluntary Federal Union: Implications of a Participation Constraint," Working Paper Series, Center for Fiscal Studies 2012:12, Uppsala University, Department of Economics.
- D61 - Microeconomics - - Welfare Economics - - - Allocative Efficiency; Cost-Benefit Analysis
- H41 - Public Economics - - Publicly Provided Goods - - - Public Goods
- H77 - Public Economics - - State and Local Government; Intergovernmental Relations - - - Intergovernmental Relations; Federalism
This paper has been announced in the following NEP Reports:
- NEP-ALL-2012-10-27 (All new papers)
- NEP-PBE-2012-10-27 (Public Economics)
- NEP-PUB-2012-10-27 (Public Finance)
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