Legislature size and government spending in Italian regions: forecasting the effects of a reform

Nadia Fiorino and Roberto Ricciuti ()

P.O.L.I.S. department's Working Papers from Department of Public Policy and Public Choice - POLIS

Abstract: We analyze the effect of different legislature size on per capita regional expenditure in Italy. According to the theory, legislature size has an indefinite effect on government spending because logrolling and transaction costs may have canceling effects. We find a large and significantly positive effect of the number of legislators. We use these findings to forecast the effects of the increase in the number of legislators that is taking place in some regions: a 10% increase in legislature size commands on average a 12% increase in per capita regional expenditure.

Keywords: Legislature size; regional expenditure (search for similar items in EconPapers)
JEL-codes: H72 H73 (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-for, nep-geo, nep-pbe and nep-reg
Date: 2006-07
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Related works:
Journal Article: Legislature size and government spending in Italian regions: Forecasting the effects of a reform (2007)
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Persistent link: http://EconPapers.repec.org/RePEc:uca:ucapdv:69

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