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Do State Goverments Embellish Key Fiscal Figures?

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Listed:
  • Björn Kauder
  • Niklas Potrafke
  • Fabian Ruthardt
  • Christoph Schinke

Abstract

Do state governments in Germany sugarcoat their fiscal plans before regional elections? The results of a new study show that governments in the old federal states did not exert any systematic influence on financial planning. By contrast, the governments in the new federal states in the year before a regional election underestimated state expenditures, tax revenues and fiscal balances compared to other years.

Suggested Citation

  • Björn Kauder & Niklas Potrafke & Fabian Ruthardt & Christoph Schinke, 2017. "Do State Goverments Embellish Key Fiscal Figures?," ifo Schnelldienst, ifo Institute - Leibniz Institute for Economic Research at the University of Munich, vol. 70(06), pages 36-40, March.
    • Handle: RePEc:ces:ifosdt:v:70:y:2017:i:06:p:36-40
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    References listed on IDEAS

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    More about this item

    JEL classification:

    • H61 - Public Economics - - National Budget, Deficit, and Debt - - - Budget; Budget Systems
    • H72 - Public Economics - - State and Local Government; Intergovernmental Relations - - - State and Local Budget and Expenditures

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