We investigate the effect of general-purpose transfers on different expenditure categories and tax rates in the municipalities of Saxony (eastern Germany) and North Rhine-Westphalia (western Germany). Findings from the panel data analysis suggest the existence of the "flypaper effect" -...

We investigate how lump-sum equalization transfers affect expenditures and taxes in the municipalities of the largest German state North Rhine-Westphalia. In general, those general-purpose transfers cannot be treated as exogenous variables. Thus, for the identification of causal effects, two...

Redistributive grants schemes, such as fiscal equalization, are a common characteristic of local public finance in several countries. However, large and small jurisdictions are treated differently by the respective fiscal equalization schemes that often tend to favour larger jurisdictions. This...

Der Bevölkerungsrückgang und der wachsende Altenanteil bewirken tendenziell Einnahmeminderungen, denn damit geht die Anzahl der Personen, die Steuern entrichten und Gebühren und Beiträge zahlen, zurück. Die kommunalen Leistungen im Bereich der Wohnfolgeinfrastruktur und technischen...