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Grant Systems and Vulnerability to Fiscal Stress: A Comparative Study of Danish and North American Local Government

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  • P E Mouritzen

    (Institute of Public Finance and Policy, University of Odense, Campusvej 55, 5230 Odense M, Denmark)

  • B J Narver

    (Institute for Public Policy and Management, University of Washington, Seattle, WA 98195, USA)

Abstract

The properties of a country's system of intergovernmental grants may have important effects on the vulnerability of local government to socioeconomic changes and to changes in grants from the central government. A comparison between Denmark and the United States suggests that a combination of a low degree of equalization, high reliance on general grants, and a visible structure of taxation lead to a high degree of vulnerability to fiscal stress.

Suggested Citation

  • P E Mouritzen & B J Narver, 1989. "Grant Systems and Vulnerability to Fiscal Stress: A Comparative Study of Danish and North American Local Government," Environment and Planning C, , vol. 7(3), pages 285-299, September.
    • Handle: RePEc:sae:envirc:v:7:y:1989:i:3:p:285-299
    DOI: 10.1068/c070285
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