FREILLE SEBASTIAN
Congresos y reuniones científicas
Título:
The effects of vertical fiscal transfers on the location of economic activity across a country regions: theory and evidence for Argentina
Autor/es:
MONCARZ, PEDRO; FREILLE, SEBASTIÁN; CAPELLO, MARCELO; FIGUERAS, ALBERTO
Lugar:
Buenos Aires, ARGENTINA
Reunión:
Congreso; XLV Reunión Anual de la Asociación Argentina de Economía Política; 2010
Resumen:
Argentina has an important system of vertical transfers with a compensatory aim including the convergence across sub-national regions. However, there still exist high levels of asymmetries among the country provinces. Extending Martin and Rogers’ FCM including non-tradable goods and public employment we analyse the effect on
economic activity location that follows to changes on the regional distribution of transfers. An increase in the share of transfers a region receives positively effect the production of manufactures the higher are: transaction costs of goods produced under increasing returns to scale; the share of transfers that goes directly to consumers instead of local governments; the elasticity of substitution between differentiated
goods; the share of consumers’ expenditure on manufactures via-as-vis on non-traded goods.
economic activity location that follows to changes on the regional distribution of transfers. An increase in the share of transfers a region receives positively effect the production of manufactures the higher are: transaction costs of goods produced under increasing returns to scale; the share of transfers that goes directly to consumers instead of local governments; the elasticity of substitution between differentiated
goods; the share of consumers’ expenditure on manufactures via-as-vis on non-traded goods.
