User charges and bureaucratic inefficiency

被引:1
作者
Bierhanzl E.J.
Downing P.B. [1 ,2 ]
机构
[1] Florida State University, Tallahassee, FL
关键词
Theoretical Result; International Economic; Public Finance; Empirical Test; Government Expenditure;
D O I
10.1007/BF02299360
中图分类号
学科分类号
摘要
This paper develops the theoretical reasons why user charge finance leads to improved government efficiency and reduced expenditures. It is argued that user charges constrain bureaucratic behavior, thus forcing the bureau to operate closer to the true demand curve for the service. Further, it is argued that user charges reduce consumer demand by connecting use and payment and by breaking fiscal illusion. This analysis leads one to expect that greater reliance on user charge finance would lead to lower government expenditures. An empirical test is performed which supports this hypothesis. The theoretical results combined with this empirical test suggest that user charges do generate lower government expenditures and a more efficient government.
引用
收藏
页码:175 / 189
页数:14
相关论文
共 22 条
[1]  
Aronson J.R., Hilley J., Financing State and Local Governments, 4th Ed., (1986)
[2]  
Bailey S.J., Charging for local government services: A coherent philosophy, Public Administration, 72, 3, pp. 365-384, (1994)
[3]  
Borcherding T.E., Deacon Robert T., The demand for the services of non-federal governments, American Economic Review, 62, 4, pp. 891-901, (1972)
[4]  
Deno K.T., Mehay Stephen L., Municipal management structure and fiscal performance: Do city managers make a difference?, Southern Economic Journal, 53, 3, pp. 627-642, (1987)
[5]  
Downing P.B., The revenue potential of user charges in municipal finance, Public Finance Quarterly, 20, 4, pp. 512-527, (1992)
[6]  
A political economy model of implementing pollution laws, Journal of Environmental Economics and Management, 8, pp. 255-271
[7]  
Downing P.B., Bierhanzl E.J., User charges and special districts, Management Policies in Local Government Finance, (1996)
[8]  
Frank J.E., Downing P.B., Patterns of impact fee use, Development Impact Fees: Policy Rationale, Practice, Theory, and Issues, (1988)
[9]  
Goetz C.J., Finance L., Fiscal illusion in state and, Budgets and Bureaucrats: The Sources of Government Growth, (1977)
[10]  
Holcombe R.G., Public Sector Economics, (1988)