Abstract
Abstract This study examines how local governments handle the financial demands of capital trials. With longitudinal data on county expenditures in Texas, fixed-effects regression estimates underscore two fiscal impacts of capital trials. First, counties raise property tax rates by an average of one-half basis point in years with a concluded trial. Second, counties reduce public safety expenditure by an average of approximately one million dollars. These results are consistent with national, cross-sectional research. (JEL: H72, H76, K14, K40, K42)
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