On The Effects of Local Versus Central Government Financing of Local Services
This paper provides some empirical support for pricing a part of local services on user basis. A model of fiscal responses to grants/user fees, based on a vote-maximizing approach, is tested on both time series and pooled data (1977-1991) for 39 upper-tier municipalities in Ontario, Canada. The exogeneity specification of grants is tested and the test results are taken into account in estimating the model. The results indicate that roughly 70 percent of the municipal governments would find it cheaper to finance local spending by grants than by local taxation. If the grant system is abolished, a majority of these governments would prefer to use some sort of user fees in financing local services. The study suggests that local public services can be provided at a substantially lower per-unit cost if some selected services are priced on user basis.
A Method for Estimating the Effect of a Subsidy
Most studies of the effects of subsidies or recipient behavior accept the nominal legal provisions of a grant as defining the actual effective resource constraint faced by the receiver. This paper argues that to the contrary the true effect of a subsidy on the receiver’s resource constraint can not be read from nominal administrative requirements. Therefore, an indirect statistical method is required to discover the shape of the post subsidy budget line. This paper develops such a method, which is then applied to U.S. local government expenditure decisions on education for the period 1964-71.
Annual Reports
Links [1] https://isc.idaho.gov/annual2015 [2] http://www.isc.idaho.gov/annual2014 [3] http://www.isc.idaho.gov/annual2013 [4] https://isc.idaho.gov/../annual2012 [5] https://isc.idaho.gov/../annual2011 [6] https://isc.idaho.gov/../annual2010 [7] https://isc.idaho.gov/../annual2009 [8] https://isc.idaho.gov/../annual2008 [9] https://isc.idaho.gov/../annual2007 [10] https://isc.idaho.gov/../annual2006 [11] https://isc.idaho.gov/../annual2005