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Privatization and intermunicipal cooperation in US local government services: balancing fiscal stress, need and political interests

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  • Mildred E. Warner
  • Austin M. Aldag
  • Yunji Kim

Abstract

The 2007–2008 Global Financial Crisis renewed interest in New Public Management tools. Privatization and intermunicipal cooperation are the two most common forms of service delivery reforms among US local governments. Which is more responsive to fiscal stress, service needs and political interests? Our national survey of 2,109 US local governments in 2017 finds cooperation is more responsive to fiscal stress and community need, while privatization is more common in communities with higher home values. Unionization is associated with more privatization and less cooperation. US local governments balance fiscal stress and community need. Cooperation is the preferred service delivery alternative.

Suggested Citation

  • Mildred E. Warner & Austin M. Aldag & Yunji Kim, 2021. "Privatization and intermunicipal cooperation in US local government services: balancing fiscal stress, need and political interests," Public Management Review, Taylor & Francis Journals, vol. 23(9), pages 1359-1376, September.
    • Handle: RePEc:taf:rpxmxx:v:23:y:2021:i:9:p:1359-1376
    DOI: 10.1080/14719037.2020.1751255
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    Cited by:

    1. Luca Mazzara & Francesco Bergamaschi & Giulia Leoni, 2022. "Gestione integrata dei dati e misurazione della performance nei network inter-municipali: un?analisi sistematica della letteratura," MANAGEMENT CONTROL, FrancoAngeli Editore, vol. 2022(2), pages 91-116.
    2. Germà Bel & Thomas Elston, 2022. ""When the Time is Right: Testing for Dynamic Effects in Collaborative Performance"," IREA Working Papers 202212, University of Barcelona, Research Institute of Applied Economics, revised Jul 2022.
    3. Xu Zhang & Tianchu Feng & Chengjun Wang & Chaozhu Li, 2023. "Local Fiscal Pressure and Public Health: Evidence from China," IJERPH, MDPI, vol. 20(6), pages 1-17, March.
    4. Gwen Arnold & Meghan Klasic & Madline Schomburg & Abigail York & Melissa Baum & Maia Cherin & Sydney Cliff & Parisa Kavousi & Alexandria Tillett Miller & Diana Shajari & Yuer Wang & Luigi Zialcita, 2022. "Boom, bust, action! How communities can cope with boom‐bust cycles in unconventional oil and gas development," Review of Policy Research, Policy Studies Organization, vol. 39(5), pages 541-569, September.
    5. Mildred E Warner & Paige M Kelly & Xue Zhang, 2023. "Challenging austerity under the COVID-19 state," Cambridge Journal of Regions, Economy and Society, Cambridge Political Economy Society, vol. 16(1), pages 197-209.

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