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The Effects Of Grants Cuts On Public Deficit - Does Incumbentâ’S Ideology Matter?

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  • Santiago Lago-Peñas

Abstract

In this paper causality between taxes and expenditures is reexamined, suggesting that electoral cycle may be a relevant explicative factor. Using a data set from a wide sample of Spanish municipalities, I test if causal relationships between budgetary variables is effectively affected by the electoral cycle.

Suggested Citation

  • Santiago Lago-Peñas, 2005. "The Effects Of Grants Cuts On Public Deficit - Does Incumbentâ’S Ideology Matter?," ERSA conference papers ersa05p617, European Regional Science Association.
    • Handle: RePEc:wiw:wiwrsa:ersa05p617
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    File URL: https://www-sre.wu.ac.at/ersa/ersaconfs/ersa05/papers/617.pdf
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    References listed on IDEAS

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    4. Antoni Castells & Alejandro Esteller & Maite Vilalta, 2004. "Full Characterisation of the Political Economy of Fiscal Adjustment: Evidence from Spanish Municipalities," Working Papers 2004/3, Institut d'Economia de Barcelona (IEB).
    5. Stine, William F., 1994. "Is Local Government Revenue Response to Federal Aid Symmetrical? Evidence from Pennsylvania County Governments in a Era of Retrenchment," National Tax Journal, National Tax Association, vol. 47(4), pages 799-816, December.
    6. Stine, William F., 1994. "Is Local Government Revenue Response to Federal Aid Symmetrical? Evidence From Pennsylvania County Governments in a Era of Retrenchment," National Tax Journal, National Tax Association;National Tax Journal, vol. 47(4), pages 799-816, December.
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