“…• transfers from the central government have a negative impact on municipal efficiency (De Borger et al, 1994;De Borger & Kerstens, 1996;Athanassopoulos & Triantis, 1998;Balaguer-Coll et al, 2002;Lokkainen & Susiluoto, 2004;Balaguer-Coll et al, 2007;Kalb, 2010;Stastna & Gregor, 2010); • the typology of municipalities (tourism, commercial activities) has an impact on municipal efficiency (Gimenez & Prior, 2007;Kalb, 2010); • outsourcing and private sector involvement can make municipalities more efficient (Loikkanen & Susiluoto, 2005;Loikkanen & Susiluoto, 2006;Mahabil, 2011); • local election turnout has a positive impact on municipal efficiency (Stastna & Gregor, 2010;Geys et al, 2010); • the mayor's education and experience have a positive impact on municipal efficiency (Loikkanen et al, 2011;Mahabil, 2011); • distance from a region/country to centres/capital in general have a negative impact on municipal efficiency (Loikkanen & Susiluoto, 2005;Afonso & Fernandes, 2005;Loikkanen & Susiluoto, 2006;Stastna & Gregor, 2010;Nieswand & Seiferd, 2011;Loikkanen et al, 2011); • population density generally has a positive effect on municipal efficiency (De Borger & Kerstens, 1996;Loikkanen & Susiluoto, 2005;Loikkanen & Susiluoto, 2006;Kalb, 2010;Nieswand & Seiferd, 2011;Loikkanen et al, 2011); • unemployment level in general has a negative effect on municipal efficiency (Loikkanen & Susil...…”