using Kelejian's (/97/) procedure for dealing with the endogenous state aid variables. Alternative specifications of the expenditure equation are derived, based on (i)
a median voter model and (ii) Niskanen's (/97/) budget-maximizing model. Theoretical considerations imply different specifications of the aid variables than have been used in previous empirical work. The estimated effect of grants-in-aid is a larger increase in expendituresthan is consistent with model (i) but less than is consistent with model (ii).
Henry George's opposition to free immigration may be surprising in light of his positions on other aspects of economic theory and policy. This essay reviews George's statements on immigration policy, discusses inconsistencies of these statements with his positions on free trade and Malthusian population theory, compares George's views with the neoclassical economic perspective on immigration, and suggests that implementation of George's policy of taxing land values would share the gains from immigration in a manner that might reduce opposition to open borders.
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