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Overcoming City Limits: Vertical and Horizontal Models of Local Redistributive Policy Making*

Michael Craw

Social Science Quarterly, 2006, vol. 87, issue 2, 361-379

Abstract: Objectives. Contrary to conventional wisdom, Census data show a substantial local role in providing health, housing, and public welfare services. I evaluate two models to explain local social welfare: an intergovernmental model, based on federal and state funds, and an interjurisdictional model, based on measures of local monopoly power. Methods. I estimate a panel data model of local redistributive expenditures from 1992–2002 to test between these alternative explanations for local redistribution. Results. I find that vertical arrangements tend to drive local redistributive spending. Conclusions. Intergovernmental factors drive local social welfare policy and suppress the local welfare race to the bottom.

Date: 2006
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https://doi.org/10.1111/j.1540-6237.2006.00385.x

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