Yardstick competition: which neighbours matter?
This paper aims at testing the existence of yardstick competition by estimating a fully specified vote-function on a panel data set of 104 French local governments from 1989 to 2001. When comparing the performance of their incumbent to the one of their "neighbours", voters might consider their close geographical neighbours but also the nearby cities that are similar according to some socio-economic characteristics such as population size. The estimation results show that voters sanction their incumbent if their own local housing tax is high. Moreover, we find that voters reward their incumbent when neighbouring cities that are similar in terms of demographic characteristics have high local taxes.
(This abstract was borrowed from another version of this item.)
Volume (Year): 44 (2010)
Issue (Month): 3 (June)
|Contact details of provider:|| Web page: http://www.springer.com|
|Order Information:||Web: http://link.springer.com/journal/168|
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Anthony Downs, 1957. "An Economic Theory of Political Action in a Democracy," Journal of Political Economy, University of Chicago Press, vol. 65, pages 135.
- Revelli, Federico, 2002. "Local taxes, national politics and spatial interactions in English district election results," European Journal of Political Economy, Elsevier, vol. 18(2), pages 281-299, June.
- Jean-Michel Josselin & Yvon Rocaboy & L.P. Feld, 2003. "Tax mimicking among regional juridictions," Post-Print halshs-00076681, HAL.
- Alvarez, Michael R. & Saving, Jason, 1995. "Deficits, Democrats, and Distributive Benefits: Congressional Elections and the Pork Barrel in the 1980s," Working Papers 928, California Institute of Technology, Division of the Humanities and Social Sciences.
- Eric Dubois & Matthieu Leprince & Sonia Paty, 2007.
"The effects of politics on local tax setting : evidence from France,"
- Eric Dubois & Matthieu Leprince & Sonia Paty, 2007. "The Effects of Politics on Local Tax Setting: Evidence from France," Urban Studies, Urban Studies Journal Limited, vol. 44(8), pages 1603-1618, July.
- Eric Dubois & Matthieu Leprince & Sonia Paty, 2007. "The Effects of Politics on Local Tax Setting: Evidence from France," Post-Print hal-00800688, HAL.
- Núria Bosch & Albert Solé, 2004.
"Yardstick competition and the political costs of raising taxes: An empirical analysis of Spanish municipalities,"
2004/5, Institut d'Economia de Barcelona (IEB).
- Núria Bosch & Albert Solé-Ollé, 2007. "Yardstick competition and the political costs of raising taxes: An empirical analysis of Spanish municipalities," International Tax and Public Finance, Springer, vol. 14(1), pages 71-92, February.
- Frey, Bruno S & Schneider, Friedrich, 1978. "A Politico-Economic Model of the United Kingdom," Economic Journal, Royal Economic Society, vol. 88(350), pages 243-53, June.
- repec:hal:cesptp:hal-00800688 is not listed on IDEAS
- Chappell, Henry W, Jr, 1983. "Presidential Popularity and Macroeconomic Performance: Are Voters Really So Naive?," The Review of Economics and Statistics, MIT Press, vol. 65(3), pages 385-92, August.
- Antoine Auberger & Eric Dubois, 2005.
"The Influence of Local and National Economic Conditions on French Legislative Elections,"
- Antoine Auberger & Eric Dubois, 2005. "The influence of local and national economic conditions on French legislative elections," Public Choice, Springer, vol. 125(3), pages 363-383, December.
- Jan Vermeir & Bruno Heyndels, 2006. "Tax policy and yardstick voting in Flemish municipal elections," Applied Economics, Taylor & Francis Journals, vol. 38(19), pages 2285-2298.
- Peltzman, Sam, 1990.
"How Efficient Is the Voting Market?,"
Journal of Law and Economics,
University of Chicago Press, vol. 33(1), pages 27-63, April.
- Sam Peltzman, 1988. "How Efficient Is the Voting Market?," University of Chicago - George G. Stigler Center for Study of Economy and State 53, Chicago - Center for Study of Economy and State.
- Peltzman, Sam, 1987. "Economic Conditions and Gubernatorial Elections," American Economic Review, American Economic Association, vol. 77(2), pages 293-97, May.
- Timothy Besley & Anne Case, 1992.
"Incumbent Behavior: Vote Seeking, Tax Setting and Yardstick Competition,"
NBER Working Papers
4041, National Bureau of Economic Research, Inc.
- Besley, Timothy & Case, Anne, 1995. "Incumbent Behavior: Vote-Seeking, Tax-Setting, and Yardstick Competition," American Economic Review, American Economic Association, vol. 85(1), pages 25-45, March.
- Case, Anne C. & Rosen, Harvey S. & Hines, James Jr., 1993. "Budget spillovers and fiscal policy interdependence : Evidence from the states," Journal of Public Economics, Elsevier, vol. 52(3), pages 285-307, October.
- Suzuki, Motoshi, 1994. "Evolutionary Voter Sophistication and Political Business Cycles," Public Choice, Springer, vol. 81(3-4), pages 241-61, December.
- Federico Revelli, 2005. "On Spatial Public Finance Empirics," International Tax and Public Finance, Springer, vol. 12(4), pages 475-492, August.
- repec:hal:cesptp:hal-00800638 is not listed on IDEAS
- Anne Case, 1993. "Interstate tax competition after TRA86," Journal of Policy Analysis and Management, John Wiley & Sons, Ltd., vol. 12(1), pages 136-148.
- Massimo Bordignon & Floriana Cerniglia & Federico Revelli, 2002. "In Search for Yardstick Competition: Property Tax Rates and Electoral Behavior in Italian Cities," CESifo Working Paper Series 644, CESifo Group Munich.
When requesting a correction, please mention this item's handle: RePEc:spr:anresc:v:44:y:2010:i:3:p:433-452. See general information about how to correct material in RePEc.
If references are entirely missing, you can add them using this form.