This paper aims to test the existence of vertical interactions in terms of public spending between overlapping local jurisdictions in France using a data set of 110 French municipalities and their corresponding departments in 2001 and 2005. To do so, we consider that demand for municipal...

[eng] Optimal local Tax Rates and Gradual Adjustment Process: do Clubs of Towns Exist in France? . by Alain Guengant and Christophe Tavéra . This paper proposes an econometric study of the hypothesis of the gradual adjustment of tax rates voted in by town councils to the optimal rates wanted by...

[eng] Since 2004, French local governments have been running deficits and have moved deeper into debt, making it harder for general government to comply with the fiscal rules of the Maastricht and Amsterdam Treaties. The growing concern over the local governments’ fiscal sustainability calls...