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Central City Exploitation by Urban Sprawl? Evidence from Swiss Local Communities

Listed author(s):
  • Christoph A. Schaltegger
  • Benno Torgler
  • Simon Zemp

This paper investigates spatial spillovers in local spending decisions between the center and the surrounding local communities by using panel data of the canton of Lucerne during the 1990s. Due to the geographical fragmentation with a major central city and some 100 small suburban local communities within a distance from 4 to 55 kilometers to the center this area represents a particularly useful database in order to test the relevance of spatial interactions in a small metropolitan area. The empirical evidence confirms strategic interactions among suburban governments and the central city only for public education, health and environmental spending. There are no spatial interactions with the central city for overall government spending.

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Paper provided by Center for Research in Economics, Management and the Arts (CREMA) in its series CREMA Working Paper Series with number 2009-07.

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Date of creation: Mar 2009
Handle: RePEc:cra:wpaper:2009-07
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  1. Weingast, Barry R & Shepsle, Kenneth A & Johnsen, Christopher, 1981. "The Political Economy of Benefits and Costs: A Neoclassical Approach to Distributive Politics," Journal of Political Economy, University of Chicago Press, vol. 89(4), pages 642-664, August.
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  12. Federico Revelli, 2001. "Spatial patterns in local taxation: tax mimicking or error mimicking?," Applied Economics, Taylor & Francis Journals, vol. 33(9), pages 1101-1107.
  13. Brueckner, Jan K., 1983. "Central-city income redistribution and the flight to the suburbs : A stylized model," Regional Science and Urban Economics, Elsevier, vol. 13(2), pages 177-193, May.
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  15. Deborah Roberts, 2000. "The Spatial Diffusion of Secondary Impacts: Rural-Urban Spillovers in Grampian, Scotland," Land Economics, University of Wisconsin Press, vol. 76(3), pages 395-412.
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  17. Jan K. Brueckner, 2003. "Strategic Interaction Among Governments: An Overview of Empirical Studies," International Regional Science Review, SAGE Publishing, vol. 26(2), pages 175-188, April.
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