NDLI: The Impact of Municipal Mergers on Local Public Spending: Evidence from Remote-Sensing Data

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The Impact of Municipal Mergers on Local Public Spending: Evidence from Remote-Sensing Data

Content Provider	Scilit
Author	Pickering, Steve Tanaka, Seiki
Copyright Year	2016
Description	Journal: SSRN Electronic Journal What happens to public spending after political units change? Within democratic states, the expansion of political units and corresponding demographic shifts should lead strategic politicians to alter how they allocate public resources in order to maximize their electoral pay-off. We argue that when rural and sparsely populated municipalities merge with more urban and densely populated municipalities, residents of the former are likely to see a reduced share of public spending. We take advantage of municipality mergers in Japan to systematically study what politicians do when their districts - and constituencies - suddenly change. To test the argument, we detect changes in public spending before and after the municipal mergers with remote sensing data, which allows for flexible units of analysis and enables us to proxy for spending within municipalities. Our results show that politicians reduce benefits allocated to areas where there are a small number of people, while increasing the allocation to more populous areas.
Related Links	http://bura.brunel.ac.uk/bitstream/2438/20016/4/FullText.pdf https://papers.ssrn.com/sol3/Delivery.cfm?abstractid=2792140
ISSN	10914358
e-ISSN	15565068
DOI	10.2139/ssrn.2792140
Journal	SSRN Electronic Journal
Language	English
Publisher	Elsevier BV
Publisher Date	2016-06-08
Access Restriction	Open
Subject Keyword	Journal: SSRN Electronic Journal Political Science Municipality Mergers Remote Sensing Data
Content Type	Text
Resource Type	Article
Subject	Public Health, Environmental and Occupational Health Psychiatry and Mental Health

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