Please use this identifier to cite or link to this item: https://hdl.handle.net/1959.11/29626
Title: The impact of rate capping on local government expenditure
Contributor(s): Yarram, Subba Reddy  (author)orcid ; Dollery, Brian  (author); Tran, Carolyn-Dung Thi Thanh  (author)orcid 
Publication Date: 2021-07
Early Online Version: 2020-06-22
DOI: 10.1332/030557320X15910206974407
Handle Link: https://hdl.handle.net/1959.11/29626
Abstract: In common with higher tiers of government worldwide, Australian state governments often adopt highly interventionist 'one-size-fits-all' policies aimed at improving local government efficiency and performance. In this article, we employ recent expenditure data to investigate empirically the short-term impacts of rate capping on municipal expenditure in the Australian state of Victoria and to explore whether it had differential effects on spending by different types of local authorities. We find that while total spending did not fall, budgets for 'invisible' services, like aged care and disabled services, did decline. Our analysis also shows that the impact of rate capping on the various types of municipal expenditures is uneven between the different categories of local authority. Our findings add to the existing literature on local government finance by demonstrating that the impact of rate capping varies according to different expenditure types classified by local council categories in a non-linear population framework.
Publication Type: Journal Article
Source of Publication: Policy and Politics, 49(3), p. 391-411
Publisher: Policy Press
Place of Publication: United Kingdom
ISSN: 1470-8442
0305-5736
Fields of Research (FoR) 2008: 150303 Corporate Governance and Stakeholder Engagement
140218 Urban and Regional Economics
160601 Australian Government and Politics
Fields of Research (FoR) 2020: 350701 Corporate governance
380118 Urban and regional economics
440801 Australian government and politics
Socio-Economic Objective (SEO) 2008: 900101 Finance Services
910402 Management
Socio-Economic Objective (SEO) 2020: 110201 Finance services
150302 Management
Peer Reviewed: Yes
HERDC Category Description: C1 Refereed Article in a Scholarly Journal
Appears in Collections:Journal Article
UNE Business School

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