We study local government incentives to misreport the information required to implement a formula grant. We focus specifically on population, in theory the easiest variable for the grantor to verify. We analyze the Spanish case and show how a switch from the use of census to registered...

Card et al (2008a) formalize a model of ethnic residential segregation where an ethnically mixed neighborhood is dynamically stable until its minority share reaches a threshold (the tipping point). Once the neighborhood has surpassed the tipping point, it will experience massive white flight....

The objective of this paper is to analyze the influence of industry characteristics on the localization and urbanization agglomeration patterns of new firm location. To this end, we analyze the location decisions of new manufacturing firms in Spain. First, for a 3-digit level, we identify for...