Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/35994
Authors: 
Hammond, George W.
Tosun, Mehmet Serkan
Year of Publication: 
2009
Series/Report no.: 
IZA Discussion Papers 4574
Abstract: 
We analyze the impact of fiscal decentralization on U.S. county population, employment, and real income growth. Our findings suggest that government organization matters for local economic growth, but that the impacts vary by government unit and by economic indicator. We find that single-purpose governments per square mile have a positive impact on metropolitan population and employment growth, but no significant impact on nonmetropolitan counties. In contrast, the fragmentation of general-purpose governments per capita has a negative impact on employment and population growth in nonmetropolitan counties. Our results suggest that local government decentralization matters differently for metropolitan and nonmetropolitan counties.
Subjects: 
Fiscal decentralization
metropolitan
nonmetropolitan
population
employment
income
spatial econometrics
JEL: 
E62
H7
R11
Document Type: 
Working Paper

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