Local Expenditure Research Articles

Government spending during childhood and intergenerational income mobility in the United States

This study examines the effects of government spending during childhood on the association between income inequality and intergenerational income mobility. I use the National Longitudinal Survey of Youth 1979 data with state-level measures of income inequality and per-capita total government spending that includes federal, state and local expenditures on education, public welfare, and health care. The 4824 parents-children pairs are used for the analysis. This study provides evidence that additional government spending contributes to promoting intergenerational income mobility. Moreover, government spending moderates the effects of income inequality on intergenerational income mobility. This evidence indicates that government spending plays a role in preventing the decrease in intergenerational income mobility by offsetting the consequences of income inequality.

Turn Down for What: A Study of Physical and Streamed Media Usage at the University of Kansas Libraries

ABSTRACTMarket data clearly shows a growing user preference for streamed media along with a rapid decline in the use of physical media by consumers. In an effort to quantify this trend on a local level, circulation data and fund expenditures for physical media were analyzed along with usage statistics for streamed media databases at the University of Kansas. Data collected will be used to inform acquisitions and subscription renewals going forward. Given the increasing availability of content in streamed databases and issues of access versus ownership in preserving the cultural record, librarians must decide how to responsibly spend allocated funds for physical media.

Localized Effects of the China Trade Shock: Is There an Effect on Consumer Expenditure?

The paper contributes to a vast literature on the effects of recent rise in Chinese import competition on the U.S. local labor markets. The previous literature has shown that higher imports cause higher unemployment and reduced wages in local labor markets that house import-competing manufacturing industries. This paper revisits these findings and examines whether the exposure of local labor markets to increased import competition has an impact on local consumer expenditure. Using household scanner data, I show that the effect of the China trade shock on changes in local non-durable consumer expenditure in nominal and real terms are not distinguishable from zero. Moreover, I show that, in the period of 2000 to 2007, the localized China trade shock had a weak effect on average wages and median household income at the commuting zone level, which may explain why I observe no effect on household non-durable expenditure.

Determinants of local public expenditures on education: empirical evidence on Indonesian municipalities between 2005 and 2012

Determinants of local public expenditures on education: empirical evidence on Indonesian municipalities between 2005 and 2012

Determinants of local public expenditures on education: empirical evidence on Indonesian municipalities between 2005 and 2012

We provide an empirical analysis of the factors that drive expenditures on primary and secondary education in Indonesian municipalities. We use a panel dataset covering 427 municipalities between 2005 and 2012. We account for the impact of socio-economic, political and geographical factors on expenditures per pupil and on the share of the overall budget spent on education. Landlocked municipalities and municipalities with a low net enrolment rate to start with are found to spend less on education. In line with studies from other countries, we find educational expenditures to rise in the municipalities' fiscal capacity. The characteristics of the local municipal council are found to influence educational expenditures in coastal municipalities with expenditures increasing in the share of the Golkar Party (Suharto's former party in the authoritarian era) and decreasing in the degree of political fragmentation. Applying spatial econometrics to a subsample of four islands, we find municipalities' educational expenditures to be positively correlated with those in neighbouring municipalities. This suggests that municipalities compete for families by offering attractive schools.

Dinamizam reformi oporezivanja imovine u Srbiji - administrativni i fiskalni aspekti

Since the introduction of property taxation in Serbian legislation, the tax system has been the subject of reforms a number of times for the purpose of its harmonization it with European Union standards. Initial changes were almost unnoticiable, while the latest modifications in the law attracted considerable interest of the tax policy creators, financial experts, as well as the taxpayers themselves because they introduced a new method of determining the tax basis which has increased the overall tax liabilities at annual level. Bearing in mind that the property tax generates local revenue and that local governments are in constant need for additional resources, the methodology of determining the tax liability should be based on the principle of equity and equality in order to ensure an ultimately efficient tax collection. In this paper, the authors will attempt to analyze both positive and negative aspects of improving the property tax system through a number of years, as well as to propose some solutions for the future reform of this system. By means of fiscal decentralization, this revenue plays an important role in financing local expenditure, while its abundance directly secures a larger autonomy of local self-government units, making them less dependable on the funds coming from the state budget.

Effects of local authority expenditure on childhood obesity.

BackgroundUnder the 2013 reforms introduced by the Health and Social Care Act (2012), public health responsibilities in England were transferred from the National Health Service to local authorities (LAs). Ring-fenced grants were introduced to support the new responsibilities. The aim of our study was to test whether the level of expenditure in 2013/14 affected the prevalence of childhood obesity in 2016/17.MethodsWe used National Child Measurement Programme definitions of childhood obesity and datasets. We used LA revenue returns data to derive three measures of per capita expenditure: childhood obesity (<19); physical activity (<19) and the Children’s 5–19 Public Health Programme. We ran separate negative binomial models for two age groups of children (4–5 year olds; 10–11 year olds) and conducted sensitivity analyses.ResultsWith few exceptions, the level of spend in 2013/14 was not significantly associated with the level of childhood obesity in 2016/17. We identified some positive associations between spend on physical activity and the Children’s Public Health Programme at baseline (2013/14) and the level of childhood obesity in children aged 4–5 in 2016/17, but the effect was not evident in children aged 10–11. In both age groups, LA levels of childhood obesity in 2016/17 were significantly and positively associated with obesity levels in 2013/14. As these four cohorts comprise entirely different pupils, this underlines the importance of local drivers of childhood obesity.ConclusionsHigher levels of local expenditure are unlikely to be effective in reducing childhood obesity in the short term.

Legal Regulation of Budget Decentralization in Ukraine

The article describes the legal regulation of fiscal decentralization in Ukraine. It was stated that fiscal decentralization is part of the complex, multi-level, system concept of “financial resources”, including a set of elements endowed with institutional characteristics. Being the material basis for the functioning of the state, most of the financial resources created by the distribution of national income are mobilized in state centralized funds of funds and other funds of financial resources that are objectively necessary conditions for the implementation of the process of expanded reproduction at all its stages and in all forms. The necessity of the study of fiscal decentralization, as a technology that conditions and reflects the general political and legal course of government, is substantiated. The content of decentralization, in its broad sense, which involves the transfer of more significant powers to local authorities, with the aim of making independent decisions on the formation of income, expenditure and regulatory and legal regulation is disclosed. It was concluded that the processes started in 2014 on financial decentralization, testify to the strengthening of the financial basis of local governments, increasing not only the revenue part of local budgets, but also the expenditure side. It was stated that, given the global tendency of political institutions to democratization, almost all domestic systems in different countries are seeking to strengthen the decentralization processes in certain areas of politics, the organization of public authority and government, and the livelihoods of local communities. Objectivity and compulsory decentralization processes in the implementation of the financial and security function of public authority have been clarified. It emphasized the desire of all modern highly developed countries to decentralize the maximum possible range of social facilities, including the decentralization of budgetary funds and powers. The same desire has recently been observed in developing countries and countries with economies in transition, which implement fiscal decentralization policies in order to change the ratio of the degree of influence of central and local public authorities on the macroeconomic situation. Provided specific proposals to the legislation to improve the management of financial resources and the predictability of local budget expenditures.

The Determinants of Districts/Cities Spending in Aceh Province: An Analysis of Electoral Districts

The purpose of this study was to examine the determinants of local expenditures (BD) of districts/cities in Aceh Province. This study used secondary data in form of budget realization reports and local expenditures of districts/cities in Aceh province from 2011 to 2015. Data were accessed on legal sites of Central Bureau of Statistic, the financial management and wealth agency of Aceh, and the Ministry of Finance. The result of this study indicated that Regional Gross Domestic Bruto (PDRB), Local Government Revenue (PAD), General Alocation Fund (DAU), and Special Allocation Fund (DAK) influenced local expenditures (BD). Based on the election areas 1 and 2, there were two differences in PDRB, PAD, DAU, and DAK. The other findings of this study revealed that there was a possibility of flypaper effect in the districts/cities of Aceh Province, and will be the further study.

Changes of Local Functions and Local Powers in Lithuania 1994–2016

The interconnection of functions and powers at local level in Lithuania during the period of 1994-2016 is analysed in the article. Using the quantitative capacity methodological approach, the authors provide a novel research model based on the analysis of legal documents and statistical data. The analysis of legal documents, mainly the Law on Local Self-Government (1994) and its amendments, reveal the constant growth of local functions since the beginning of the period. However, the substantial part of the state’s delegated functions in the total of the local functions is the first indicator of the ruling influence of state on local government. To prove the limited capacities of local governments the indicators disclosing functional responsibilities and local discretion are calculated. Several trends reveal as the results of these calculations: (i) the steady trend of the deficit of the local budgets, meaning that municipalities have or to increase their debts, or to provide less services, or to provide services of less quality; (ii) the immutably small trend of local expenditures as the part of total general government expenditures and as the part of the GDP, meaning the stagnancy in the growth of functional responsibilities and low level of fiscal decentralization; (iii) the constant trend of significant state’s subsidies, meaning the constrained local discretion. These calculations prove that the increase of functional responsibilities at local level has not been accompanied by the increase of discretion, thus, the main conclusion of the research is that powers of local governments in Lithuania remain constrained despite the increase of functions.DOI: http://dx.doi.org/10.5755/j01.ppaa.17.3.21955

Quantification of the influence of Písek City Forests Ltd. on the local economy of the region

The aim of this paper is to highlight the possible way of quantification of the impact of forest enterprise and forest management on the economic and social development of the territory by using the methodology of the local multiplier calculation and identifying potential cash flows associated with the implementation of socioeconomic functions of forest ecosystems. The economic indicators to be analysed are the local expenditures of Písek City Forests Ltd. on suppliers and employees in 2015. The local multiplier is a specific microeconomic indicator which enables quantification and evaluation of socioeconomic benefits of the selected operator for the local people and entrepreneurs. The results of the specific university research project of Mendel University in Brno with the title: Quantification of the Influence of the Selected Forestry Enterprise on the Local Economy of the Region will allow us to evaluate the effect of the special-purpose forest enterprise and forest management on the economic and social development as well as to identify the potential cash flows related to the fulfilment of socioeconomic functions of the forest ecosystems in the area of interest of Písek City Forests Ltd.

Starving counties, squeezing cities: tax and expenditure limits in the US

Policy Highlights We create a 50 state Tax and Expenditure Limits (TEL) severity index by government type. Counties and municipalities differ in their revenue structure and economic functions. TELs constrict counties’ ability to raise revenue. Municipalities broaden revenue sources and debt in response to TEL severity. State aid needs to increase for counties to offset TEL’s restrictive effect. State-imposed local Tax and Expenditure Limits (TELS) are restricting revenue raising ability of local governments across the U.S. We create a 50-state index to measure the severity of TELS by type of tax limitation (rate limit, tax ceilings, etc.) for each type of local government: county, municipality and school district. We find in states with more restrictive TELs, counties are more restricted, while cities reduce their property tax dependence and shift to alternative revenue sources and incur more debt. State aid does not make up the difference. TELs increase stress for all local governments but are most severe for counties.

The Role of Revenue Volatility in Local Expenditure Volatility: A Comparison of Tokyo Metropolitan Local Governments

Local expenditure volatility can have significant implications for the health of local economies. It is therefore essential to understand how fluctuations in the various components of municipal revenue translate into expenditure volatility. We examine the association between revenue and expenditure volatility for Tokyo Metropolitan Governments – which are comprised of both Special Wards and Tama Cities – through recourse to a six‐year panel of fiscal data (2010–2015 inclusive). We find evidence of statistically significant positive associations between the volatility of most local taxes and expenditure volatility, but negative associations between the volatility of grants and expenditure volatility. This suggests that grants play an important role in smoothing out local expenditures in Tokyo and that the prescription for greater reliance on local taxation, found in much of the literature, may not be appropriate for Japanese local governments.

Understanding Individual Environmental Concern in the Context of Local Environmental Governance in China: A Multi-Level Analysis

A growing literature has examined the contextual effect of governance on public environmental concern, but most were conducted in a cross-national context. This article investigates the effects of local-level governance on individual environmental concern in China, where environmental governance follows a top-down, non-participatory approach. We compiled a city-level database capturing local participation in sustainability-related policy experimentation and local budgetary expenditure on environmental protection. Combining this with the 2010 China General Social Survey (CGSS) data, multi-level modeling analysis revealed that citizens express stronger environmental concern living in a city more active in sustainability policies, but that the positive coefficient is significant for the urban sample but not for the rural sample. Policy experimentation related to urban livability – rather than ecological conservation – has a more significant impact on environmental concern. The results highlight governance as a contextual factor for understanding the determinants of individual environmental attitudes.

Formation of budgets of local self governance in the system of social development of territorial communities

The subject of the study is theoretical and practical issues of the formation of budgets of local self-government in the system of social development of territorial communities. The purpose of the study is to reveal the priority tasks for improving the system of formation of budgets of local self-government. Research methods. The paper uses a set of scientific methods and approaches, including systematic, structural, comparative, factor methods, which allowed to realize the conceptual unity of the research. Results of work. The article reveals the role of local self-government budgets in the development of administrative-territorial units. A number of legislative and normative acts on regulation of the process of formation of budgets of local self-government are generalized. The priority tasks of the budget policy concerning support of territorial communities, strengthening of their tax capacity, increase of efficiency of coordination of activity of bodies of state power and local self-government are determined. The article is based on the establishment of an effective institutional framework for the formation of local self-government budgets in the system of social development of territorial communities. The field of application of results. System of state financial regulation, budgetary policy, budget system. Conclusions. The development of the budget system is possible by ensuring the sustainability of the formation of local government budgets in the system of social development of territorial communities, activating their innovation-investment component and strengthening the influence on the socio-economic development of administrative-territorial units. The importance of further enhancing the effectiveness and efficiency of the formation of local government budgets is conditioned by the need to increase the efficiency of the management of public financial resources in the conditions of their constraints, the development of a strategy for the development of local government budgets and the creation of institutional conditions for increasing their self-sufficiency, taking into account the cyclical nature of economic fluctuations and the impact of exogenous and endogenous factors in financially -budgetary environment. At this stage, the important task is to implement effective transformations of the system of forming local budgets by supporting voluntary associations of territorial communities, which necessitates the increase of efficiency and efficiency of administrative decisions of executive bodies and local governments in the field of strategic budget planning. It is advisable to improve the system of monitoring the socioeconomic efficiency of local government budget expenditures by using qualitative and quantitative indicators, introducing medium-term budget planning at the local level, adhering to the principle of transparency and accountability of local self-governance bodies to the public. Important tasks are improving the system of formation of local budgets taking into account application of modern financial-budget methods and tools; Creation of effective incentives to ensure the interest of local self-government bodies in the growth of their own income base and increase their level of responsibility for the use of budget resources; ensuring adequate revenues to local government budgets, and increasing the efficiency of the use of budget resources.

Environmental Protection in Italian regions: North-Centre vs. South?

In this paper an econometric analysis of determinants of Italian regional public environmental expenditure is performed. Results from the whole sample show the presence of industrial pressure for environmental services, and that richer regions increase local environmental expenditure. When only North-Central regions are considered, econometric estimation evidences an interest of public opinion for environmental policies, and a positive relationship between per capita income and environmental expenditure. Pressure from population and industrial employees for the supply of environmental services is, also, found. In richer industries, the supply of regional environmental services is lower. In the Southern regions, only the aim of the local administration to maintain social stability is evident.

SUSTAINABILITY ECONOMIC AND ECONOMIC GROWTH: THE MODERATING EFFECT OF DISPARITY REGION AND INCOME ON SOCIETY WELFARE

This study aims to examine and analyze the influence of regional financial independence, capital expenditure, government investment with moderate effects of disparity between regions and income disparities to economic growth, employment and community welfare. Data analysis method used was Structural Equation Modeling (SEM) with Partial Least Square (PLS) approach, to test the ten hypotheses formulated in this research, then used path analysis (Path Analysis).&#x0D; The conclusions of this study are: (1) Regional financial independence has a positive and significant impact on economic growth, while regional financial independence with moderate effects of disparity between regions has a negative but not significant effect on economic growth. (2) Regional financial independence has a positive and insignificant effect on labor absorption, while regional financial independence with moderate effects of disparity between regions has positive and insignificant effect. (3) Regional financial independence has a positive and significant impact on the welfare of the community. (4) Local government capital expenditure has negative and insignificant effect on economic growth, while regional government capital expenditure with moderate effect of disparity between regions has positive and insignificant effect on economic growth. (5) Local government capital expenditure has negative and insignificant effect on labor absorption, while regional government capital expenditure with moderate effect of disparity between regions has positive and insignificant effect on labor absorption. (6) Local government investment has negative and insignificant effect on economic growth, while local government investment with moderate effect of inter-regional disparity has positive effect not significant to economic growth. (7) Local government investment has a positive and significant effect on labor absorption, while local government investment with moderate effect of disparity between regions has negative and insignificant effect on labor absorption. (8) Economic growth has a positive and significant impact on the welfare of the community, while the economic growth with the effect of moderation income disparity has a positive but insignificant effect on people's welfare. (9) Employment absorption has a negative and significant effect on people's welfare, while employment absorption with moderation effect of income disparity has negative and insignificant effect on people's welfare. (10) Local government investment has a positive and insignificant effect on people's welfare. Increased local government investment spending does not provide much improvement in the welfare of the people.

Pengaruh Karakteristik Pemerintah Daerah Terhadap Kinerja Keuangan Pemerintah Daerah Kabupaten &amp; Kota Di Jawa Timur

Performance measurement is one way that local governments can use to achieve good governance. Local government performance measurement (Pemda) includes measurement of financial and non financial performance. Analysis of local government financial performance is essentially not only a form of control, but also helps all users of local government financial reports including communities to be able to evaluate the performance of local governments. The performance of local government can be used to look at regional capability in running regional autonomy. This study aims to examine the effect of local government characteristics on the financial performance of local governments. The characteristics of local government are represented by size, intergovernmental revenue, and regional expenditure. This study examines the financial statements of local governments by taking a sample of 30 districts / cities in East Java. The data used in this research is secondary data. The analytical tool used in this study is multiple regression. From the analysis result, it can be concluded that partially size of local government size does not have an effect on to local government financial performance, intergovernmental revenue has significant effect to financial performance of local government and regional expenditure has no effect on local government financial performance. Simultaneously size, intergovernmental revenue, and local expenditure have an effect on to local government financial performance

A comparative analysis of local government financial autonomy in Albania

Purpose- The financial aspect of local government autonomy is considered a very important topic in the public finance literature especially for the developing countries. Fiscal autonomy empowers the local government units with the right means to provide better services for the community and to proper allocate the funds based on the citizens needs. The purpose of this paper is to study the level of financial autonomy in Albanian municipalities and compare the characteristics within different units of local government. Methodology- In this paper we analyze the financial autonomy of Albanian municipalities by proposing an index to compare the governmental units and classify them in four classes according to the degree of autonomy. Seven quantitative indicators are used in the index, with different importance coefficients. F indings - In Albania, while important progress has been made on advancing the decentralization reform in the last decade, autonomy of local government still remains a challenge. Local authorities do not have appropriate financial resources and they are depended on transfers from the central government budget. Conclusion- The index results show that only a small share of local expenditures is covered by local tax revenues, while intergovernmental transfers constitute an important source of funds for the execution of local functions and service delivery.

Federalismo municipale e nuovo sistema perequativo: il Fondo di solidarietà comunale 2016

Since the Italian parliament endorsed the fiscal federalism Law 42 in 2009 to the first application of a new equalization program in 2015, there was intense sequencing of various reform steps with regard to municipal governments, some of them in a net contrast with the framework provided by the federalism Law. At the end, the equalization program, which has been applied to partially reallocate resources within Fondo di solidarieta comunale in 2015-2016, is horizontal, based in part on the differences between estimated local expenditure needs and fiscal capacity and in part on the differences between fiscal capacity and its average value. Given the importance of the reform and considering the fact that its implementation was sequenced in distinct steps, which obscured many of its contentious issues, the purpose of this paper is to explain the modus operandi of the new equalization program and to quantify its redistributive effects under the hypothesis of its application at full of Fondo di solidarieta comunale and under some alternative scenarios. In both cases, municipalities in Southern Italy appear to benefit more than municipalities in any other Italian macro-regions.