Political business cycles at the municipal level View Full Text


Ontology type: schema:ScholarlyArticle      Open Access: True


Article Info

DATE

2007-04

AUTHORS

Linda Gonçalves Veiga, Francisco José Veiga

ABSTRACT

The present article tests predictions of rational political business cycle models using a large and previously unexplored data set of Portuguese municipalities. This data allows for a clean test of these predictions due to the high level of detail on expenditure items, an exogenous fixed election schedule, and homogeneity of Portuguese local governments with respect to policy instruments and institutions. Estimation results clearly reveal the opportunistic behaviour of local governments. In pre-electoral periods, they increase total expenditures and change their composition favouring items that are highly visible to the electorate. This behaviour is consistent with an effort to signal competence and increase chances of re-election. More... »

PAGES

45-64

Journal

TITLE

Public Choice

ISSUE

1-2

VOLUME

131

Author Affiliations

Identifiers

URI

http://scigraph.springernature.com/pub.10.1007/s11127-006-9104-2

DOI

http://dx.doi.org/10.1007/s11127-006-9104-2

DIMENSIONS

https://app.dimensions.ai/details/publication/pub.1001411820


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