{"title":"Do Municipalities Pay More to Issue Unrated Bonds?","authors":"Matthew Peppe, Haluk Unal","doi":"10.2139/ssrn.3946052","DOIUrl":"https://doi.org/10.2139/ssrn.3946052","url":null,"abstract":"We study the approximately 34% of local municipal bond issues that are unrated. Results show that issuers are less likely to obtain ratings for smaller issues, negotiated offerings, and bonds with high proxies for risk such as coming from areas with low property values and personal income. Using a doubly-robust Inverse Probability Weighted Regression Adjustment that controls for the endogenous choice to obtain a rating, we estimate forgoing a rating causes higher offering yields of between 36 and 55 basis points, costing municipalities $17B to $26B in higher interest expense between 1998 and 2017.","PeriodicalId":385898,"journal":{"name":"PSN: Local Politics & Policy (Topic)","volume":"9 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2021-10-19","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"130796545","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"The Returns to Public Library Investment","authors":"Gregory A. Gilpin, Ezra Karger, Peter Nencka","doi":"10.21033/WP-2021-06","DOIUrl":"https://doi.org/10.21033/WP-2021-06","url":null,"abstract":"Local governments spend over 12 billion dollars annually funding the operation of 15,000 public libraries in the United States. This funding supports widespread library use: more than 50% of Americans visit public libraries each year. But despite extensive public investment in libraries, surprisingly little research quantifies the effects of public libraries on communities and children. We use data on the near-universe of U.S. public libraries to study the effects of capital spending shocks on library resources, patron usage, student achievement, and local housing prices. We use a dynamic difference-in-difference approach to show that library capital investment increases children’s attendance at library events by 18%, children’s checkouts of items by 21%, and total library visits by 21%. Increases in library use translate into improved children’s test scores in nearby school districts: a $1,000 or greater per-student capital investment in local public libraries increases reading test scores by 0.02 standard deviations and has no effects on math test scores. Housing prices do not change after a sharp increase in public library capital investment, suggesting that residents internalize the increased cost and improved quality of their public libraries.","PeriodicalId":385898,"journal":{"name":"PSN: Local Politics & Policy (Topic)","volume":"26 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2021-04-12","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"125487601","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Immigrant Inventors and Local Income Taxes: Evidence from Swiss Municipalities","authors":"Rainer Widmann","doi":"10.2139/ssrn.3864113","DOIUrl":"https://doi.org/10.2139/ssrn.3864113","url":null,"abstract":"This paper studies the relationship between local personal income tax rates and the attractiveness of municipalities as residential locations for immigrant inventors in Switzerland. Exploiting sharp differences in top income tax rates across state borders, I find an elasticity of the probability that an inventor takes residence in a municipality with respect to the top net-of-tax rate of around 4. Additional evidence suggests that inventors’ residential location choices are consequential for the localization of entrepreneurial activity and local knowledge spillovers.","PeriodicalId":385898,"journal":{"name":"PSN: Local Politics & Policy (Topic)","volume":"42 5 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2020-09-30","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"115987729","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Confidence in the Accuracy of Michigan’s 2020 Census Count Among Local Leaders Was Not Very High, Slips Further","authors":"D. Horner, Natalie Fitzpatrick, Thomas M. Ivacko","doi":"10.2139/ssrn.3685973","DOIUrl":"https://doi.org/10.2139/ssrn.3685973","url":null,"abstract":"This report presents the opinions of Michigan’s local government leaders regarding the 2020 U.S. Census, including their confidence in the potential accuracy of the count both locally and at the state level, as well as information about local actions to boost census participation among residents. These findings are based on statewide surveys of local government leaders in the Spring 2020 wave of the Michigan Public Policy Survey (MPPS), with a comparison to the Spring 2019 and Spring 2010 waves of the MPPS.","PeriodicalId":385898,"journal":{"name":"PSN: Local Politics & Policy (Topic)","volume":"138 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2020-08-26","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"124357408","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Pursuing Justice or Protecting Local Firms? Shenzhen Courts Move Beyond Judicial Local Protectionism","authors":"Yafeng Zhang, A. Crupi, Alberto Di Minin","doi":"10.1111/radm.12422","DOIUrl":"https://doi.org/10.1111/radm.12422","url":null,"abstract":"Emerging economies represent a vivid market for firms worldwide who are massively investing in R&D. This tendency is generating an increase in the number of intellectual property (IP) registrations and is expanding the markets for IP. However, emerging economies tend to show unfair judicial systems, being unable to ensure IP rights protection, and to allow companies to benefit from their inventions. China is one of the most important emerging economies, and both domestic and foreign companies are investing a considerable amount of money in R&D and IP activities, especially in innovative cities such as Shenzhen. In this study, we aim to investigate whether the Chinese judicial system, using the city of Shenzhen as our empirical context, is fair in protecting IP rights. We use data about IP litigations from 2014 to 2016, targeting the three most relevant outcomes: settlement, judgment, and the amount of damage awards recognized by the court. The study shows no evidence that Shenzhen courts rule in favor of local firms, and the findings show consistency regarding settlement, the winning probability in judgment, and amount of damage awards. Accordingly, we derive managerial implications demonstrating that Shenzhen is a very international arena and firms act following the classic strategic theories of innovation appropriation.","PeriodicalId":385898,"journal":{"name":"PSN: Local Politics & Policy (Topic)","volume":"19 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2020-07-13","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"117059316","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Municipal Finance During the COVID-19 Pandemic: Evidence from Government and Federal Reserve Interventions","authors":"Tao Li, Jing Lu","doi":"10.2139/ssrn.3637636","DOIUrl":"https://doi.org/10.2139/ssrn.3637636","url":null,"abstract":"We study the functioning of the primary market for municipal bonds during the COVID-19 pandemic. The average offering yield increases while the number of new issues drops when county-level COVID-19 case and death counts rise, with investors exhibiting great concern over coronavirus-related mortality. Exploiting the differential timing of the implementation of local mitigating policies, we find that emergency declarations exert an adverse effect, leading to a 69 basis-point increase in offering yields and a significant drop in new issuance. Investors shun transportation and dedicated tax bonds or bonds issued in fiscally unhealthy states. Announcements of first cases and stay-at-home orders, however, have weak impacts. The Federal Reserve's unprecedented interventions through two municipal liquidity facilities have calmed the market. Offering yields on average dropped 200 basis points on March 23, 2020 alone. New issue volume also rises gradually over the study period. The reopening of local economies has led to a significant drop in offering yields.","PeriodicalId":385898,"journal":{"name":"PSN: Local Politics & Policy (Topic)","volume":"747 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2020-06-28","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"127810871","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Local Governance and Poverty Reduction in Decentralising Indonesia: Case in Riau Province","authors":"A. Marta","doi":"10.2139/ssrn.3635819","DOIUrl":"https://doi.org/10.2139/ssrn.3635819","url":null,"abstract":"Poverty is still a problem that continues to occur so that it is included in the agenda of the sustainable development goals (SDGs). This poverty issue has received serious attention from developing countries including Indonesia. The paradigm shift from centralization to decentralization that occurred in Indonesia gives hope for the community to be able to live in prosperity. However, the authority that has been owned by the local government has not been able to be utilized optimally in solving the problem of poverty in Riau Province. Based on the empiric phenomenon, this article seeks to answer the question how is the strategy carried out by the local governance in reducing poverty in Riau Province? This study uses qualitative research methods. The data collected in this study comes from interviews, books, research journals, reports, and articles in mass media and online media. Data analysis is done by interactive methods and analyzed using theories or approaches that are relevant to research. The results of this study indicate that the role of local governance in overcoming poverty in Riau Province by; (1) Funding assistance policies for the poor; (2) Infrastructure development to the countryside; (3) empowering indigenous people and communities; (4) Providing access to economic resources for the poor. The conclusion in this study is that the strategies carried out by the local governments have not been able to reduce poverty in Riau Province, because collaboration with private actors has not been optimized.","PeriodicalId":385898,"journal":{"name":"PSN: Local Politics & Policy (Topic)","volume":"27 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2020-06-25","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"129943564","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Financial Condition and Internal Control Deficiencies: Evidence from New York Counties","authors":"Youngsun Kim, D. Matkin","doi":"10.1111/pbaf.12246","DOIUrl":"https://doi.org/10.1111/pbaf.12246","url":null,"abstract":"In recent years, significant attention has been given to measuring the financial condition of local governments, predicting when those governments will experience fiscal distress, and understanding how public managers navigate financial shortfalls. Researchers have given less focus, however, to understanding how financial condition affects other financial management practices—such as the administrative systems used to ensure financial accountability. This study uses a 19‐year panel of county‐level data from New York State to examine whether financial condition affects the likelihood of internal control deficiencies. The findings indicate that the incidence and severity of internal control deficiencies increase as financial condition deteriorates.","PeriodicalId":385898,"journal":{"name":"PSN: Local Politics & Policy (Topic)","volume":"40 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2020-02-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"117239028","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Mayor’s Wage and Public Procurement","authors":"A. D’Andrea","doi":"10.2139/ssrn.3480385","DOIUrl":"https://doi.org/10.2139/ssrn.3480385","url":null,"abstract":"In this paper I run a regression discontinuity design analysis to document the causal effect of mayor’s wage on procurement outcomes in a large data base of public procurement contracts in Italy.To identify the wage effect, I use peculiarities of the Italian legislation where mayor’s remuneration varies at pre-determined population thresholds. My main results are as follows. First, a higher wage (i.e., my treatment) is not related with differences in aggregate measures of procurement: number of tenders, total procurement expenditure and the mean value of the contract in the municipality. Second, some of the ex-ante procurement outcomes are positively affected by mayor’s wage: the number of admitted offers and final rebates on the reserve price. Finally, a higher wage causes a significant decrease in the probability that the same firm is awarded a contract repeatedly. This paper is the first to document a direct relationship between mayor’s salary and public procurement.","PeriodicalId":385898,"journal":{"name":"PSN: Local Politics & Policy (Topic)","volume":"38 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2019-11-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"125482087","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Eric Oyemam Ato Brown, Shakespeare Ofosuhene, W. Akenten
{"title":"Constraints of Revenue Mobilization: Local Government Perspective","authors":"Eric Oyemam Ato Brown, Shakespeare Ofosuhene, W. Akenten","doi":"10.2139/ssrn.3353673","DOIUrl":"https://doi.org/10.2139/ssrn.3353673","url":null,"abstract":"This paper critically examines the constraints local governments are experiencing in Africa specifically Ghana. The study gives an in-depth assessment of revenue instruments and strategies employed by local governments that ensure efficient revenue collection. The researchers threw more light on the administrative and political challenges local governments are experiencing in recent times. The analysis is illustrated with an example from the Sekondi-Takoradi Municipal Assembly in this descriptive research. The conclusion of the study shows that although revenue generation by local governments is necessary, the amount of revenue collected is not sufficient to develop and provide the required services for the constantly growing population. This is mainly because there are new revenue sources local governments are not exhausting.","PeriodicalId":385898,"journal":{"name":"PSN: Local Politics & Policy (Topic)","volume":"60 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2019-03-16","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"125511111","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}