Fiscal policy and reelection in Brazilian municipalities

Sergio Naruhiko Sakurai and Naercio Aquino Menezes Filho

No 51, Business and Economics Working Papers from Unidade de Negocios e Economia, Insper

Abstract: This paper uses a new panel of more than two thousand Brazilian municipalities over thirteen years to analyze the influence of public expenditures on the probability of mayors’ reelection. We examine Brazilian municipal elections from 1988 to 2000 using a logit fixed effects model. The results suggest that higher public expenditures executed during the whole political term increase the probability of reelection of Brazilian mayors. In particular, higher capital spending over the years preceding elections and current expenditures in election years are beneficial to Brazilian incumbent mayors.

Pages: 25 pages
Date: 2008
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Citations: View citations in EconPapers (3)

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