Equal votes, equal money: Court-ordered redistricting and public expenditures in the American states

Court-ordered redistricting in the mid-1960s eradicated severe disparities in the populations of US. state legislative districts. We examine the geographic distribution of money by states to counties. Cross-sectional analysis shows that counties with relatively more legislative seats per person prior to redistricting received relatively more transfers from the state per person. Over time, counties that lost legislative seats subsequently received a smaller share of state funds per capita. We calculate that population equalization significantly altered the flow of state transfers to counties, diverting approximately $7 billion annually from formerly overrepresented to formerly underrepresented counties, an effect missed by past studies. For those concerned with the design of democratic institutions around the world today, the American experience provides clear evidence of the political consequences of unequal representation.