The Determinants and Efficiency of Local Authority Spending in England

Author/Editor:

James P. F. Gordon ; Tamim Bayoumi

Publication Date:

January 1, 1991

Disclaimer: This Working Paper should not be reported as representing the views of the IMF.The views expressed in this Working Paper are those of the author(s) and do not necessarily represent those of the IMF or IMF policy. Working Papers describe research in progress by the author(s) and are published to elicit comments and to further debate

Summary:

This paper analyzes the efficiency and determinants of local authority expenditure in England during 1989/90. The capitalization of local spending in house prices is used as a test of efficiency, and it is found that local services are in general excessive from this standpoint. The determinants of local government spending are then estimated and local incomes, the tax price faced by the electorate, and local party control are found to be significant. Application of the analysis to the recently introduced local government reforms suggest small effects on the overall level of spending.

Series:

Working Paper No. 91/9

Subject:

English

Publication Date:

January 1, 1991

ISBN/ISSN:

9781451927108/1018-5941

Stock No:

WPIEA0091991

Price:

$15.00 (Academic Rate:$15.00)

Format:

Paper

Pages:

34

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