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The electoral budget cycle on municipal police expenditure

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  • Ma. Guillamón
  • Francisco Bastida
  • Bernardino Benito

Abstract

This paper analyzes the effects of electoral cycles on municipal police expenditure. We use a database with information on Spanish municipalities with more than 20,000 inhabitants for the period 2001–2008. Our data show that incumbents increase police spending 1 year before the elections, thus we confirm an electoral budget cycle on police expenditure in Spain. We also find that conservative parties are associated with increased spending on public safety. Population has a positive and significant impact on police expenditures per capita, which indicates diseconomies of scale. The theory on sub-national government spending shows that intergovernmental transfers per capita and taxes per capita are believed to impact local expenditures. Our model fits this assumption, showing a significant and positive influence of both variables on police expenditures. Finally, our model reports a positive impact of both immigration and economic level on police spending. Copyright Springer Science+Business Media, LLC 2013

Suggested Citation

  • Ma. Guillamón & Francisco Bastida & Bernardino Benito, 2013. "The electoral budget cycle on municipal police expenditure," European Journal of Law and Economics, Springer, vol. 36(3), pages 447-469, December.
    • Handle: RePEc:kap:ejlwec:v:36:y:2013:i:3:p:447-469
    DOI: 10.1007/s10657-011-9271-6
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    1. > Law and Economics > Economics of Crime > Crime Prevention > Police Funding > Determinants

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    Cited by:

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    2. Bizer, Kilian & Henger, Ralph & Meub, Lukas & Proeger, Till, 2014. "The political economy of certificates for land use in Germany: Experimental evidence," University of Göttingen Working Papers in Economics 225, University of Goettingen, Department of Economics.
    3. Emanuele Bracco & Marco Alberto De Benedetto & Maurizio Lisciandra, 2024. "Manipulating municipal budgets: unveiling opportunistic behavior of Italian mayors," Public Choice, Springer, vol. 198(3), pages 317-342, March.
    4. Siân Mughan & Dallin Overstreet, 2023. "The impact of government form on resource allocation in local government, evidence from municipal court closures," Public Budgeting & Finance, Wiley Blackwell, vol. 43(2), pages 3-26, July.
    5. Enrique J. Buch‐Gómez & Roberto Cabaleiro‐Casal, 2020. "Turnout, political strength, and cost efficiency in Spanish municipalities of the autonomous region of Galicia: Evidence from an alternative stochastic frontier approach," Papers in Regional Science, Wiley Blackwell, vol. 99(3), pages 533-553, June.
    6. Vicente Rios & Pedro Pascual & Fermín Cabases, 2017. "What drives local government spending in Spain? A dynamic spatial panel approach," Spatial Economic Analysis, Taylor & Francis Journals, vol. 12(2-3), pages 230-250, July.
    7. Israel Garcia & Bernd Hayo, 2022. "The Influence of Politicians’ Sex on Political Budget Cycles: An Empirical Analysis of Spanish Municipalities," MAGKS Papers on Economics 202223, Philipps-Universität Marburg, Faculty of Business Administration and Economics, Department of Economics (Volkswirtschaftliche Abteilung).
    8. Voltes-Dorta, Augusto & Jiménez, Juan Luis & Suárez-Alemán, Ancor, 2014. "An initial investigation into the impact of tourism on local budgets: A comparative analysis of Spanish municipalities," Tourism Management, Elsevier, vol. 45(C), pages 124-133.
    9. Bracco, Emanuele, 2018. "A fine collection: The political budget cycle of traffic enforcement," Economics Letters, Elsevier, vol. 164(C), pages 117-120.
    10. Balaguer-Coll, María Teresa & Brun-Martos, María Isabel, 2013. "El efecto del gasto público sobre las posibilidades de reelección de los gobiernos locales," Revista de Contabilidad - Spanish Accounting Review, Elsevier, vol. 16(1), pages 74-80.
    11. Krzysztof Beck & Michał Możdżeń, 2020. "Institutional Determinants of Budgetary Expenditures. A BMA-Based Re-Evaluation of Contemporary Theories for OECD Countries," Sustainability, MDPI, vol. 12(10), pages 1-31, May.

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    More about this item

    Keywords

    Police expenditure; Political budget cycles; Local government; Budgetary manipulation; GMM; H72;
    All these keywords.

    JEL classification:

    • H72 - Public Economics - - State and Local Government; Intergovernmental Relations - - - State and Local Budget and Expenditures

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