Working Paper
Municipalities secession and uncertainty on public goods provision
Autor
Arvate, Paulo Roberto
Mattos, Enlinson
Ponczek, Vladimir Pinheiro
Institución
Resumen
This paper investigates the causes of municipalities secession in Brazil. The theoretical model proposes that the median voter is not fully informed about the efficiency effect of secession on public good provision and uses the break up decision undertaken by neighbor’s municipalities within the state to account for his voting. Our empirical results confirms that prediction