This paper aims at presenting a simple model of local decision-making based on the hypothesis of monopoly power on the part of local governments. It adds the contribution of the principal-agent theory by assuming that: (a) monopolistic behavior is constrained by voters’ efforts to monitor...

This paper analyses the determinants of saving behaviour among Portuguese households using a structural equation model with latent variables. It is found that the main factors directly influencing households' saving behaviour are their attitude towards saving and their level of income. However,...