Does local council size affect land development expenditure? Quasi-experimental evidence from Japanese municipal data
AbstractThe purpose of this paper is to evaluate a fiscal common-pool problem in a Japanese local government. Especially, we focus on the relationship between council size and land development expenditure of local government using a dataset of 13,989 municipalities in Japan from FY2001 to FY2006. We deal with an identification of causal effects by applying regression discontinuity design’s framework to address problem of endogeneity bias. Our results show that land development expenditure of small municipalities induce the fiscal common-pool problem over public projects.
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Bibliographic InfoPaper provided by University Library of Munich, Germany in its series MPRA Paper with number 43723.
Date of creation: Jan 2013
Date of revision:
fiscal common-pool problem; council size; government expenditure; regression discontinuity design;
Find related papers by JEL classification:
- H77 - Public Economics - - State and Local Government; Intergovernmental Relations - - - Intergovernmental Relations; Federalism
- H76 - Public Economics - - State and Local Government; Intergovernmental Relations - - - Other Expenditure Categories
This paper has been announced in the following NEP Reports:
- NEP-ALL-2013-01-19 (All new papers)
- NEP-GEO-2013-01-19 (Economic Geography)
- NEP-PBE-2013-01-19 (Public Economics)
- NEP-PPM-2013-01-19 (Project, Program & Portfolio Management)
- NEP-URE-2013-01-19 (Urban & Real Estate Economics)
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