The impact of state tax and expenditure limitations (TELs) on bond credit ratings is estimated using an incomplete (or unbalanced) panel from the US states from 1973 to 2005. Three indices of the restrictiveness of TELs are used. Both Moody’s and Standard and Poor’s bond credit...

The influence of government structure on the efficient allocation of public resources is examined A test developed by Brueckner is used to examine differences in the allocative efficiency of representative versus direct democracy forms of local government. The empirical results suggest that the...