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Haug , Peter
(8)
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al. , et
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ap Gwilym , Owain
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Year
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Vertical Grants and Local Public Efficiency
Ivo Bischoff, Peter Bönisch, Peter Haug, Annette Illy
Public Finance Review, No. 3, 2019
Abstract
The existing empirical literature on the impact of vertical grants on local public-sector efficiency yields mixed results. Given the fact that vertical financial equalization systems often reduce differences in fiscal capacity, we argue that empirical studies based on cross-sectional data may yield a positive relationship between grants and efficiency of public service production even when the underlying causal effect is not. We provide a simple illustrative theoretical model to show the logic of our argument and illustrate its relevance by an empirical case study for the German state of Saxony-Anhalt. We show that our main argument of an inference-disturbing effect applies to those existing studies that are more optimistic about the impact of vertical grants. Finally, we argue that it may disturb the inference drawn from studies in a number of other countries where vertical grants—intended or not—concentrate in fiscally weak municipalities.
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The Efficiency of Local Public-service Production: The Effect of Political Institutions
Peter Bönisch, Peter Haug
FinanzArchiv, No. 2, 2018
Abstract
Reforms replacing municipal cooperations by centralized municipalities often aim at increasing municipal efficiency. Empirical evidence supporting this aim, however, is ambiguous. Our paper analyzes the effect of institutions on municipal efficiency. In particular, we distinguish two archetypal institutional settings, a centralized and a confederal one, and argue that bureaucrats in a centralized setting are able to increase the fiscal residual. Our empirical test case is the German federal state of Saxony-Anhalt. We test the effect of the institutional setup using the bootstrap approach suggested by Simar and Wilson (2007), concluding that a decentralized institutional setting improves the efficiency of municipal production.
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Does Intermunicipal Cooperation Increase Efficiency? A Conditional Metafrontier Approach for the Hessian Wastewater Sector
F. Blaeschke, Peter Haug
Local Government Studies, No. 1, 2018
Abstract
This paper analyses the relationship between intermunicipal cooperation and efficiency of public service provision. Organisational arrangements of public service production, including self-provision, joint provision or contracting, affect incentives and internal transaction costs. Hence, cooperation gains from scale effects need to be balanced against technical inefficiencies. We analyse relative efficiency of wastewater disposal for German municipalities. We employ a conditional analysis in conjunction with a metafrontier approach to calculate relative efficiency measures and technology gap ratios controlling for organisational arrangements and further environmental variables. Jointly providing municipalities and contractor municipalities exhibit lower technical efficiency than self-providing and contracting municipalities. As confirmed by previous research, scale effects from cooperation and contracting apply to small municipalities primarily.
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Gemeindegröße, Verwaltungsform und Effizienz der kommunalen Leistungserstellung – Das Beispiel Sachsen-Anhalt
Peter Haug
Raumforschung und Raumordnung, No. 4, 2013
Abstract
Municipality Size, Institutions and Efficiency of Municipal Service Provision: The Case of Saxony-Anhalt: In this contribution we analyze the determinants of the efficiency of municipal service production using the example of the German state of Saxony-Anhalt. The focus lies on the effects of municipality size, institutional setting and spatial or demographic factors. We perform a robust non-parametric frontier estimation (Convex order-m).The results reveal e.g. no efficiency deficits of municipal associations and a significant impact of demographic factors and settlement structures.
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Langfristige Wirkungen des Konjunkturpakets II am Beispiel der sächsischen Kommunen
Peter Haug
List Forum für Wirtschafts- und Finanzpolitik, 2010
Abstract
The article discusses primarily the potential long-term (supply-side) effects of the public investments subsidized by the German „Economic Stimulus Package II“. Considering the allocative aspects, especially the productivity and financing effects of publicly provided capital as well as the factor price effects of investment grants (municipalities are „lured to the concrete“) have to be taken into account. The theoretical problems are supported empirically by the subsidy practice in Saxony and its focus on local consumer goods (sports and leisure facilities) and on not directly economy-related educational facilities (kindergartens, primary schools). From a distributive point of view no interdependence between the financial strength (or weakness) of the municipalities and the amount of their ESPII-grants received could be confirmed empirically. Finally, with respect to the economic short-term stabilization effects of the program a significant increase of the municipal investments – although with a time lag - was found for Saxony.
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Effects of “Democratic Control” on the Efficiency of Local Public Enterprises: Empirical Evidence for Water Suppliers in Eastern Germany
Peter Haug
Public Finance and Management, No. 1, 2008
Abstract
This paper deals with the effects of interference by local governments on the business affairs of publicly owned utilities. A partial model is presented to illustrate the consequences of “democratic control” on the public managers’ effort and the efficiency of local public production. To empirically check the theoretical results, a two-stage data envelopment analysis (DEA) was carried out on a sample of Eastern German water suppliers. The organizational form is used in the regression analysis to measure the degree of municipal control. The results of the OLS- and Tobit regression indicate an efficiency-enhancing effect on organizational forms with less distinctive control options for local politicians.
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The Reform of Local Public Services of General Interest in Europe
Peter Haug, Martin T. W. Rosenfeld
Applied Economics Quarterly (Supplement), 2004
Abstract
The benefits of a reduced supply of local public services may more than outweigh the supposed welfare losses. This was suggested by various theoretical and empirical investigations in many fields of economics during the last decades. Nevertheless, local and national politicians, trade unionists, charities, and other lobbyists have succeeded in preventing further liberalisation of “services of general interest” in Europe. This article examines why these preserve agents have been and are still successful. The analysis is based on an institutional economic approach. Several policy measures and institutional changes are suggested to either reduce influence of preserve agents or to compensate them for their losses.
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Diversifikation und regionale Wirtschafts- und Beschäftigungsentwicklung - Eine empirische Analyse für ausgewählte deutsche Gebiete
Peter Haug
Jahrbuch für Regionalwissenschaft, No. 2, 2004
Abstract
This article analyses the effects of heterogeneous economic structures on the long-term development of regional employment. A simple model is introduced to illustrate the beneficial outcomes for households as well as for enterprises of locating in highly diversified municipalities because risk (volatility of income, recruitment costs in a broader sense) diminishes for both. Econometric results for a sample of municipalities in Lower Saxony provide some evidence for a positive effect of local economic diversification on employment opportunities. The results seem to be not confined to the aggregated local labour demand but also apply to most branches the local business sector.
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