The importance of spatial effects in municipal debt

This article analyses the debt of local governments taking into account the presence of spatial interactionsamong neighbouring municipalities. To this end, the S2SLS and Spatial lag models were applied to a sampleof 527 municipalities located in the Valencian Community (Spain) for the year 2015. The...

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Detalles Bibliográficos
Autores: Balaguer Coll, Maria Teresa, Ivanova Toneva, Mariya
Tipo de recurso: artículo
Fecha de publicación:2019
País:España
Institución:Universidad de Murcia
Repositorio:DIGITUM. Depósito Digital Institucional de la Universidad de Murcia
OAI Identifier:oai:digitum.um.es:10201/68679
Acceso en línea:http://hdl.handle.net/10201/68679
Access Level:acceso abierto
Palabra clave:Debt
Councils
Spatial interaction
Endeudamiento
Ayuntamientos
Interacciones espaciales
Descripción
Sumario:This article analyses the debt of local governments taking into account the presence of spatial interactionsamong neighbouring municipalities. To this end, the S2SLS and Spatial lag models were applied to a sampleof 527 municipalities located in the Valencian Community (Spain) for the year 2015. The main results reveala spatial correlation in outstanding debt among municipalities. The gender of the mayor, the grants andtransfers received and the average payment period have direct effects on outstanding debt. In turn, the netsavings index, inactive population, local income and the strength of the ruling political party have indirecteffects on the municipal debt and indirect spatial effects on the debt of the neighbouring municipalities.