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Public Goods And The Stability Of Federalism

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  • Albert Breton

Abstract

Some federal structures are and have been stable for relatively long periods; others, though apparently stable, are chronically subject to important strains, while others still are either unstable or have ceased to exist as federal entities. In the paper, I develop a limited model of federalism, built on the number and properties of public goods, which appears to account for some of the observable stability features of federal structure. Essentially, the model assumes that when individuals in one jurisdiction do not only passively receive spillovers from other jurisdictions, but react and adjust to them, possibilities of conflict exist which can only be resolved by the creation of the appropriate machinery. It is shown how a change in the number of public goods can affect the outcome.

Suggested Citation

  • Albert Breton, 1970. "Public Goods And The Stability Of Federalism," Kyklos, Wiley Blackwell, vol. 23(4), pages 882-902, November.
    • Handle: RePEc:bla:kyklos:v:23:y:1970:i:4:p:882-902
    DOI: 10.1111/j.1467-6435.1970.tb01050.x
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    Cited by:

    1. Laaser, Claus-Friedrich & Stehn, Jürgen, 1995. "Perspektiven der sozialen Marktwirtschaft - mehr Effizienz durch eine föderative Arbeitsteilung," Kiel Working Papers 680, Kiel Institute for the World Economy (IfW Kiel).
    2. Scott McKinney, 1984. "Public Good Producers and Spillovers : An Analysis of Duopoly Behavior," Public Finance Review, , vol. 12(1), pages 97-116, January.
    3. Werner W. Pommerehne & Charles Beat Blankart, 1979. "Les économies d'échelles dans les services urbains," Revue Économique, Programme National Persée, vol. 30(2), pages 338-354.
    4. Lehmbruch, Gerhard, 2002. "Der unitarische Bundesstaat in Deutschland: Pfadabhängigkeit und Wandel," MPIfG Discussion Paper 02/2, Max Planck Institute for the Study of Societies.
    5. Sandler, Todd & Tschirhart, John T, 1980. "The Economic Theory of Clubs: An Evaluative Survey," Journal of Economic Literature, American Economic Association, vol. 18(4), pages 1481-1521, December.

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