Alesina, Albert; Danninger, Stephan; Rostagno, Massimo - In: IMF Staff Papers 48 (2001), pp. 2-2
This paper examines the regional distribution of public employment in Italy. It documents two facts. The first is that public employment is used as a subsidy from the North to the less wealthy South. About half of the wage bill in the South of Italy can be identified as a subsidy. Both the size...