A platform for research: civil engineering, architecture and urbanism
A platform for research: civil engineering, architecture and urbanism
Local public goods, heterogeneous population, voluntary transfers, and constrained efficient allocations
Abstract. The underprovision of public goods and the inefficiency of the migration equilibrium in a federation are widely discussed in the fiscal externality literature. The central authority can solve these problems by using inter-regional transfers. Moreover, it has been shown that an intervention of the central government is not necessary when the individuals are identical with respect to their marginal rate of substitution of private for public goods since local authorities will make efficient transfers to other regions by themselves. This paper, however, shows that an efficient population distribution in a federation is not guaranteed if individuals differ with respect to their marginal benefit from public consumption even if communities make transfers. The paper also demonstrates the importance of the preference revelation by the residence choice.
Local public goods, heterogeneous population, voluntary transfers, and constrained efficient allocations
Abstract. The underprovision of public goods and the inefficiency of the migration equilibrium in a federation are widely discussed in the fiscal externality literature. The central authority can solve these problems by using inter-regional transfers. Moreover, it has been shown that an intervention of the central government is not necessary when the individuals are identical with respect to their marginal rate of substitution of private for public goods since local authorities will make efficient transfers to other regions by themselves. This paper, however, shows that an efficient population distribution in a federation is not guaranteed if individuals differ with respect to their marginal benefit from public consumption even if communities make transfers. The paper also demonstrates the importance of the preference revelation by the residence choice.
Local public goods, heterogeneous population, voluntary transfers, and constrained efficient allocations
Wrede, Matthias (author)
1997
Article (Journal)
English
Rotten spouses, family transfers, and public goods
| Online Contents | 2015
Rotten spouses, family transfers, and public goods
| Online Contents | 2015
Local public goods and central charities
| Online Contents | 1998
Interjurisdictional commuting and local public goods
| Online Contents | 1991
Local public good provision, municipal consolidation, and national transfers
| Online Contents | 2008