Intertemporal Analysis of State and Local Government Spending: Theory ad Tests / Douglas Holtz-Eakin, Harvey S. Rosen, Schuyler Tilly.

Format:

Book

Author/Creator:

Holtz-Eakin, Douglas.

Contributor:

National Bureau of Economic Research.

Rosen, Harvey S.

Tilly, Schuyler.

Series:

Working Paper Series (National Bureau of Economic Research) no. w4261.

NBER working paper series no. w4261

Language:

English

Physical Description:

1 online resource: illustrations (black and white);

Other Title:

Intertemporal Analysis of State and Local Government Spending

Place of Publication:

Cambridge, Mass. National Bureau of Economic Research 1993.

Summary:

Do state and local governments smooth their consumption spending across years, or is their spending driven mainly by contemporaneous changes in resources? We design a test to determine which view of state and local spending is more consistent with the data. We find that state and local spending is determined primarily by current (as opposed to permanent) resources. That is, despite their apparent ability to skirt balanced budget laws, states and localities do not typically smooth their expenditures over time.

Notes:

Print version record

January 1993.