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The Impact of Institutional Characteristics on the Use and Effectiveness of Rainy Day Funds: A Pilot Study of Municipal Governments in West Virginia

  • Michael Daugherty

    ()

    (West Virginia University, Extension Service)

  • Odd Stalebrink

    ()

    (West Virginia University, Division of Public Administration)

  • Mehmet Tosun

    ()

    (Department of Economics, University of Nevada, Reno)

This research focuses on enhancing the understanding of the use of “rainy day funds” to deal with municipal fiscal shortfalls. It is a pilot study, examining the largest 15 cities in West Virginia. Analysis of data from state reports and interviews with finance directors are used to determine whether, how, and to the degree the cities studied use various reserve fund mechanisms. While almost every city was found to have fiscal reserves, there was great variation in the methods used and amounts in how it was done – some cities followed predictable patterns found elsewhere while others did not.

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File URL: http://www.business.unr.edu/econ/wp/papers/UNRECONWP06012.pdf
File Function: First version, 2006
Download Restriction: no

Paper provided by University of Nevada, Reno, Department of Economics & University of Nevada, Reno , Department of Resource Economics in its series Working Papers with number 06-012.

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Length: 32 pages
Date of creation: Dec 2006
Date of revision:
Handle: RePEc:unr:wpaper:06-012
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