Strategic Competition in Swedish Local Spending on Childcare, Schooling and Care for the Elderly

Karin Edmark ()

No 2007:21, Working Paper Series from Uppsala University, Department of Economics

Abstract: This study tests for strategic competition in public spending on childcare and primary education, and care for the elderly, using panel data on Swedish municipalities over 1996-2005. The high degree of decentralization in the organization of the public sector implies that Swedish data is highly suitable for this type of study. The study is not limited to interactions in the same type of expenditure, but also allows for e¤ects across expenditures. The results give no robust support for the hypothesis that municipalities react on the spending policy of neighbouring municipalities in the decision on own spending on care of the elderly, childcare and education.

Keywords: Strategic interactions; Spatial econometrics; Decentralization; Local Public Spending (search for similar items in EconPapers)
JEL-codes: C31 H72 H77 (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-age, nep-edu, nep-hea, nep-pbe and nep-ure
Date: 2007-09-03
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Related works:
Working Paper: Strategic competition in Swedish local spending on childcare, schooling and care for the elderly (2007)
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Persistent link: http://EconPapers.repec.org/RePEc:hhs:uunewp:2007_021

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