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Public Choice

, Volume 136, Issue 3–4, pp 457–473 | Cite as

The impact of government structure on local public expenditures

  • Lynn MacDonaldEmail author
Article

Abstract

Though the relationship between local government structure and expenditure has received considerable attention, there is little consensus as to how the features of representative government affect local expenditure. An exception is city council size, which has consistently been found to be positively related to spending. Previous results rely on cross-sectional estimation which may be subject to omitted variable bias. This paper analyzes three components of municipal governments—the form of government, the size of the city council, and the election method of city councilors. Once fixed effects estimation is employed, the positive relationship between city council size and expenditure disappears.

Keywords

Local government City manager Law of 1/n Election method Council size Government expenditure 

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Copyright information

© Springer Science+Business Media, LLC. 2008

Authors and Affiliations

  1. 1.Economics Department SH 386St. Cloud State UniversitySt. CloudUSA

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