Feld, Lars P.; Kirchgaessner, Gebhard; Schaltegger, … - In: Southern Economic Journal 77 (2010) 1, pp. 27-48
According to the Leviathan Model, fiscal federalism is a binding constraint on revenuemaximizing government. The competitive pressure of fiscal federalism reduces public sector size, as compared to unitary states. This study uses panel data of Swiss cantons from 1980 to 1998 to empirically...