The Impact of Intergovernmental Transfers on Education Outcomes and Poverty Reduction

• Published in: American economic journal. Applied economics Vol. 5; no. 4; pp. 206 - 240
• Main Authors: Litschig, Stephan, Morrison, Kevin M.
• Format: Journal Article
• Language: English
• Published: American Economic Association 01.10.2013
• Subjects: Censuses; Corruption; Developing countries; Economic impact; Economic models; Economic statistics; Economic theory; Economics; Education; Federal government; Funding; Government services; Government spending; Human capital; LDCs; Literacy; Local government; Municipalities; Per capita; Political economy; Political science; Politics; Population; Population estimates; Poverty; Pretreatment; Public services; Reelection; Seminars; Spending; Studies; Brazil

This paper provides regression discontinuity evidence on development impacts of intergovernmental transfers. Extra transfers in Brazil increased local government spending per capita by about 20 percent over a 4 year period with no evidence of crowding out own revenue or other revenue sources. School...