Empirical evidence of fiscal common pool problem and municipal mergers
| Project/Area Number |
26780181
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| Research Category |
Grant-in-Aid for Young Scientists (B)
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| Allocation Type | Multi-year Fund |
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| Research Field |
Public finance/Public economy
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| Research Institution | Musashi University |
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Principal Investigator |
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| Project Period (FY) |
2014-04-01 – 2018-03-31
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| Project Status |
Completed (Fiscal Year 2017)
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| Budget Amount *help |
¥2,730,000 (Direct Cost: ¥2,100,000、Indirect Cost: ¥630,000)
Fiscal Year 2017: ¥650,000 (Direct Cost: ¥500,000、Indirect Cost: ¥150,000)
Fiscal Year 2016: ¥650,000 (Direct Cost: ¥500,000、Indirect Cost: ¥150,000)
Fiscal Year 2015: ¥650,000 (Direct Cost: ¥500,000、Indirect Cost: ¥150,000)
Fiscal Year 2014: ¥780,000 (Direct Cost: ¥600,000、Indirect Cost: ¥180,000)
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| Keywords | 市町村合併 / コモン・プール問題 / 意思決定プロセスの断片化 / 議会規模 / 地方財政健全化法 / 財政ルール / スピルオーバー効果 / 地方財政健全化 / 相互依存関係 / 基準財財政需要額 / 行政広域化 / 都道府県 / 地方交付税 / 地方債 / 類似団体 / 合併特例 / 地方議会 / 政府間財政関係 |
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| Outline of Final Research Achievements |
The purpose of our research is to evaluate a fiscal common pool problem in Japanese municipal mergers. We identify causal effects by applying propensity score matching within a differences-in-differences framework to address the problems of endogeneity bias and sample selection bias. Our results show that the subordinate merger partner suffers from adverse fiscal conditions and creates a fiscal common pool problem in public projects just before mergers.
Also, we focus on the relationship between council size and land development expenditure of local government using a dataset of municipalities in Japan from FY2004. We deal with an identification of causal effects by applying regression discontinuity design's framework to address problem of endogeneity bias. Our results show that land development expenditure of large municipalities induce the fiscal common-pool problem through public projects.
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Report
(5 results)
Research Products
(34 results)
