A Glimmer of Optimism in Government Savings Accumulation? An Empirical Examination of Municipal Unassigned Fund Balance in Florida

Theodore Arapis and Vincent Reitano

Public Finance Review, 2018, vol. 46, issue 3, 389-420

Abstract: Few would question that the Great Recession and its aftermath have proved challenging for government financial management. This depressed economic environment has renewed interest in research involving the accumulation and use of the unassigned fund balance. In this study, we use data on Florida cities to examine the factors affecting the unassigned fund balance before, during, and after the Great Recession. According to our findings, building and maintaining savings at high levels have become routine for Florida cities, irrespective of their government form and the economic conditions they face. This research also provides evidence that Florida cities adapt their savings accumulation strategy, depending on the level of unassigned fund balance they are targeting. As a result, Florida cities consider different factors when accumulating unassigned fund balance above, rather than within or below, the minimum range suggested by the Government Finance Officers Association.

Keywords: fund balance; fiscal savings; local fiscal policy (search for similar items in EconPapers)
Date: 2018
References: Add references at CitEc
Citations:

Downloads: (external link)
http://pfr.sagepub.com/content/46/3/389.abstract (text/html)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:sae:pubfin:v:46:y:2018:i:3:p:389-420

Access Statistics for this article

More articles in Public Finance Review
Bibliographic data for series maintained by SAGE Publications ().