Fiscal Autonomy and Self-Determination

Arbeitspapier

This paper studies the equilibrium effects of local fiscal autonomy accounting for benefits from self-determination. It proposes a quantifiable structural equilibrium framework in which imperfectly mobile heterogeneous households sort themselves across jurisdictions under endogenous public good provision. We calibrate the framework to fit the economic and geographic characteristics of the Canton of Bern using household-level data. In particular, we exploit quasi-natural policy variation in voting rights to quantify benefits from self-determination, and employ machine learning methods to accurately represent the local political process. We find that restricting local fiscal autonomy decreases welfare for (almost) all households.

Angaben zum Objekt

• Sprache: Englisch

Verweise und Beziehungen

• Erschienen in: Series: CESifo Working Paper ; No. 9445

Klassifikation und Themen

• Klassifikation: Wirtschaft ; State and Local Taxation, Subsidies, and Revenue ; Intergovernmental Relations; Federalism; Secession ; Finance in Urban and Rural Economies
• Thema: fiscal autonomy ; self-determination ; decentralization ; household ; equilibrium ; quasi-natural variation

Beteiligte, Orts- und Zeitangaben

• Ereignis: Geistige Schöpfung
• (wer): Loumeau, Gabriel ; Stettler, Christian
• Ereignis: Veröffentlichung
• (wer): Center for Economic Studies and ifo Institute (CESifo)
• (wo): Munich
• (wann): 2021

Weitere Informationen

• Handle: http://hdl.handle.net/10419/248990
• Letzte Aktualisierung: 10.03.2025, 11:44 MEZ