Per-capita public expenditures and population size: a non-parametric analysis using French data

Robert Breunig and Yvon Rocaboy

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Abstract: Based on the median voter model, we specify a flexible general framework of the effect of municipality size on per-capita public expenditures. Previous literature has recognized that municipality size should have a non-linear effect on the quality of public goods provision and to this end different papers have applied a range of alternative parametric specifications. Using a very large sample of French "communes" we are able to estimate the effect of municipality size semi-parametrically. In contrast with the parametric specifications, we find evidence of the U-shaped relationship between per-capita public expenditures and population which is predicted by theory.

Keywords: Local public economics; semi-parametric econometrics; congestion (search for similar items in EconPapers)
Date: 2008
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Citations: View citations in EconPapers (20)

Published in Public Choice, 2008, 136 (3-4), pp.429-445. ⟨10.1007/s11127-008-9304-z⟩

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Journal Article: Per-capita public expenditures and population size: a non-parametric analysis using French data (2008)
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Persistent link: https://EconPapers.repec.org/RePEc:hal:journl:halshs-00315891

DOI: 10.1007/s11127-008-9304-z

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