Urban Fiscal Crisis and Local Emergency Management: Tracking the Color Line in Michigan
Nate Breznau and
L. Owen Kirkpatrick
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Nate Breznau: University of Bremen
No k9ve7, OSF Preprints from Center for Open Science
Abstract:
Increasingly, U.S. state governments deploy emergency management techniques to re-solve troubled municipal finances. Layoffs, school closings, pension renegotiations, and sale of public assets results. These costs unevenly affect black residents. Recent legal de-cisions argue this is an innocent byproduct of black concentration in fiscally distressed cities. Thus, targeted emergency intervention is colorblind. We investigate this assertion, asking if racially inequitable outcomes signal differential impact on, or differential treat-ment of black people. We investigate Michigan, the country’s most intensive emergency management site. Using all politically incorporated units in Michigan, 2007-2013, we ap-ply causal logic and maximum likelihood estimation with covariates of fiscal distress, per-centage black and median household income. We find a net effect of the percentage of black residents on the likelihood of emergency management after adjusting for the other covariates. If correctly specified, our model gives evidence that racial bias was a factor in the application of emergency management.
Date: 2018-04-30
New Economics Papers: this item is included in nep-ure
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Persistent link: https://EconPapers.repec.org/RePEc:osf:osfxxx:k9ve7
DOI: 10.31219/osf.io/k9ve7
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