Search results for "Public Expenditure"
showing 10 items of 28 documents
Organized crime and public spending: a panel data analysis
2018
The aim of this paper is to investigate, empirically, what components of public spending imply a decreasing effect on organized crime and what components create opportunities for organized crime, discussing also the role of government efficiency. Using a panel data analysis, the results show a strikingly consistent pattern for the EU Member States. Organized crime mainly operates in the distribution of government spending for local public goods and public provision of private services. There is a decreasing effect on organized crime of the public expenditure devoted to education and social policy. Government efficiency in public spending is beneficial to limit the opportunities of the organ…
How Does the Public Spending Affect Technical Efficiency? Some Evidence from 15 European Countries
2019
The relationship between government size and economic growth has been widely debated. Departing from this issue, we provide an empirical analysis of the impact of government size on technical efficiency. The aim of this paper is to estimate by using a True Random Effect model the impact of public sector’s size and of public expenditure components on 15 European countries’ technical efficiency from 1996 to 2011. Using the total public expenditure as a proxy for the government size we estimate simultaneously national optimal production function and technical efficiency model by controlling for income distribution and institutional quality. Our main findings show that the effect of public sect…
A Macroeconomic Estimation of the Education Production Function
2007
07/002; The aim of this paper is to test the existence of an education production function based on data resulting from international surveys of pupil assets. The results of the estimates, using first the total sample, and then making distinctions according to the economic level of the country, show significant differences concerning the relationships between educational inputs and outputs. Thus, inconsistencies found in former analyses in terms of estimating the education production function can partially be explained by the fact that they failed to take into account the economic level of the countries analysed.
The Effects of Fiscal Redistribution
2016
Every discussion on income distribution and inequality distinguishes between market income, namely income before tax and without transfers, and disposable, or net income, which is after tax and including transfers. Hence, taxation and transfers create a redistribution of income. This redistribution is usually progressive, as direct taxes and subsidies are progressive, and thus it is supposed to reduce inequality, in the transition from market income to disposable income. This paper focuses on measuring the effect of fiscal policy in income redistribution and in reducing inequality. It also examines which type of fiscal policy is most strongly related to the redistribution of income, are the…
Public Employees as Politicians: Evidence from Close Elections
2017
We analyze the effect of municipal employees’ political representation in municipal councils on local public spending. We use within-party, as-good-as-random variation in close elections in the Finnish open-list proportional election system to quantify the effect. One more councilor employed by the public sector increases spending by about 1%. The effect comes largely through the largest party and is specific to the employment sector of the municipal employee. The results are consistent with public employees having an information advantage over other politicians, and thus, being able to influence policy.
How to pay for the war in times of imperfect commitment. Adam Smith and David Ricardo on the Sinking Fund
2014
AbstractThe paper proposes a comparative analysis of Smith's and Ricardo's views on the sinking fund. It shows that Smith and Ricardo agreed in stressing the ineffectiveness of the sinking fund as a policy instrument targeted at public debt repayment and tax-burden relief, pointing out that its actual workings had paradoxically helped to increase rather than reduce British total debt-load. Moreover, their explanation of the sinking fund paradox integrates a defective fiscal commitment technology with powerful politicians’ incentives to siphon off the money stored in the sinking fund to meet sudden increases of public expenditure whenever the occasion arose.
The Analysis on the Cyclical Behaviour of Fiscal Policy in the EU Member States
2013
Abstract This paper deals with the topic of cyclicality of fiscal policy. The main purpose of this paper is to determine the cyclical behaviour of fiscal policy in the EU member states, using historical time series for all the European countries during the period between 1995- 2011. The results pointed out that the procyclical fiscal policies are a feature of developing countries and the countercyclical and acyclical fiscal policies are a feature of developed counties.
On distributing quarterly national growth among regions
2008
In many countries a very important fraction of public expenditure is managed by regional authorities. However, in a world where economic life has quickened and become more turbulent, subnational institutions rarely have a timely regional macroeconomic picture at their disposal. The authors propose a guide to a method for estimating quarterly accounts of regions from the national quarterly and annual regional accounts, by the use of a temporal structure which eliminates possible spurious jumps. The robustness of the process and suggested practicalities are tested, and the proposal is also shown to produce better estimates than other uniregional methods often used in this framework.
Antecedents and consequences of market orientation in public organisations
2001
The aim of this article is to link research on market orientation in the field of marketing with the proposals of reform and modernisation made in the administrative and political field. Market orientation in business organisations is a highly topical issue, or even more, it is considered by someacademicians as the new marketing paradigm. Following these studies and their proposals of application in other sectors, a market orientation model is developed, from a public management perspective, in the setting of local governments through testing a set ofhypotheses about the construct and its antecedents and consequences. Antecedents explaining why some local governments are more market oriente…
Redistribution of tax resources: a cooperative game theory approach
2021
AbstractWe consider the problem of how to distribute public expenditure among the different regions of an economic entity after all taxes have been collected. Typical examples are: the regions that make up a country, the states of a federal country, or the countries of a confederation of countries. We model the problem as a cooperative game in coalitional form, called the tax game. This game estimates the fiscal resources collected in each region, or coalition of regions, by differentiating between what comes from economic activity within each region and what comes from trade with the other regions. This methodology provides a measure of the disagreement within a region, or coalitions of re…