La importancia de los efectos espaciales en la deuda municipal

Abstract

This article analyses the debt of local governments taking into account the presence of spatial interactions among neighbouring municipalities. To this end, the S2SLS and Spatial lag models were applied to a sample of 527 municipalities located in the Valencian Community (Spain) for the year 2015. The main results reveal a spatial correlation in outstanding debt among municipalities. The gender of the mayor, the grants and transfers received and the average payment period have direct effects on outstanding debt. In turn, the net savings index, inactive population, local income and the strength of the ruling political party have indirect effects on the municipal debt and indirect spatial effects on the debt of the neighbouring municipalities. Este artículo analiza la deuda de los gobiernos locales teniendo en cuenta la presencia de interacciones espaciales entre los municipios vecinos. Para ello se utiliza una muestra 527 municipios de la Comunidad Valenciana, para el año 2015 y se aplican los modelos espaciales S2SLS y Spatial lag. Los principales resultados obtenidos muestran la existencia de autocorrelacion espacial en la deuda viva entre los municipios. Las variables género del alcalde, índice de subvenciones y transferencias recibidas y el periodo medio de pago presentan efectos directos sobre la deuda viva. Mientras que, el índice de ahorro neto, la población no activa, la renta local y la fortaleza política tienen efectos directos en la deuda del municipio y efectos espaciales indirectos en la deuda de los municipios vecinos.

The sustainable development goals: How does their implementation affect the financial sustainability of the largest Spanish municipalities

“…In terms of the political variables, political ideology ( Ideology ) barely affects the municipal financial situation since we only found that conservative parties reduce the average supplier payment period ( ASSP) . This agrees with findings by Benito et al (2014) and Balaguer‐Coll and Ivanova‐Toneva (2019), which show that political ideology may not be a significant factor in explaining the financial situations of governments. Municipalities governed by majority parties ( Majority ) have a shorter ASPP and less debt per capita ( Debtpc ).…”

“…of the socioeconomic variables (Density, Incomepc and Unemployment) on municipal finances. This is in line with Guillam on et al(2011),Balaguer-Coll and Ivanova-Toneva (2019) andBenito et al (2014), who also did not find a significant effect between these variables. However, we can see how municipalities that collect more taxes (Taxespc) and receive more in transfers (Transferpc) (in per capita terms) have more surplus (Balancepc) and gross savings (Gsavingspc).They take advantage of these resources to improve their financial situations.…”

“…Guillamón et al (2011) and Vicente et al (2013) find that the more money received in transfers, the higher the debt. However, Balaguer‐Coll and Ivanova‐Toneva (2019) show the opposite.…”

Measuring the Efficiency of Public and Private Delivery Forms: An Application to the Waste Collection Service Using Order-M Data Panel Frontier Analysis

“…One of the problems in this respect is that most studies of the question have been cross-sectional, and so no long-term evaluation has been made with which more robust results could have been obtained. The present study addresses this shortcoming by analysing the efficiency of the waste collection service by private and public management forms over an extended period of time, and by employing order-m data panel methodology, which allows robust estimates to be obtained [102,103].…”

Analysing public debt in the Mexican states: Spatial convergence, regional drivers and policy recommendations

“…And, as Canuto and Liu (2013) state, there are a few studies on subnational debt in Mexico. Some research has considered the presence of spatial interactions among neighbouring regions (Balaguer‐Coll & Toneva, 2019; Pan et al, 2017), showing that the level of indebtedness of one region may be influenced by the level of indebtedness of neighbouring regions.…”