Interjurisdictional redistribution and public goods with increasing returns to scale

Author: Haering N.J.  

Publisher: Springer Publishing Company

ISSN: 0048-5829

Source: Public Choice, Vol.95, Iss.3-4, 1998-06, pp. : 321-329

Disclaimer: Any content in publications that violate the sovereignty, the constitution or regulations of the PRC is not accepted or approved by CNPIEC.

Previous Menu Next

Abstract

This paper builds upon probabilistic voting theory to examine vote maximizing interjurisdictional redistribution with increasing returns to scale in the production of regional public goods. We find that with interregional differences in the per capita cost of public goods, the vote maximizing interregional redistribution will seem incoherent and unfair when judged on the basis of the availability of public goods or regional incomes.