We analyze the response of municipalities to the occurrence of natural disasters in terms of spending behavior, use of upper-tier transfers and recovery, using balance sheet data of about 8,000 Italian municipalities for the period 2000–2015, and the universe of earthquakes events. We find evidence of increasing expenditure for about 12 years after the shocks, with asymmetric responses between earthquake-related and unconditional grants, and heterogeneous flypaper effects across the country. While in northern municipalities expenditure tends to regress to pre-earthquake levels, southern municipalities stick to higher expenditure levels when grants drop. This evidence is coupled with a faster recovery of private income and housing prices in northern municipalities.

(2020). Earthquakes, grants, and public expenditure: How municipalities respond to natural disasters [journal article - articolo]. In JOURNAL OF REGIONAL SCIENCE. Retrieved from http://hdl.handle.net/10446/151108

Earthquakes, grants, and public expenditure: How municipalities respond to natural disasters

Masiero, G.;
2020-01-01

Abstract

We analyze the response of municipalities to the occurrence of natural disasters in terms of spending behavior, use of upper-tier transfers and recovery, using balance sheet data of about 8,000 Italian municipalities for the period 2000–2015, and the universe of earthquakes events. We find evidence of increasing expenditure for about 12 years after the shocks, with asymmetric responses between earthquake-related and unconditional grants, and heterogeneous flypaper effects across the country. While in northern municipalities expenditure tends to regress to pre-earthquake levels, southern municipalities stick to higher expenditure levels when grants drop. This evidence is coupled with a faster recovery of private income and housing prices in northern municipalities.
articolo
2020
Masiero, Giuliano; Santarossa, M.
(2020). Earthquakes, grants, and public expenditure: How municipalities respond to natural disasters [journal article - articolo]. In JOURNAL OF REGIONAL SCIENCE. Retrieved from http://hdl.handle.net/10446/151108
File allegato/i alla scheda:
File Dimensione del file Formato  
jors.12462.pdf

Solo gestori di archivio

Versione: publisher's version - versione editoriale
Licenza: Licenza default Aisberg
Dimensione del file 2.96 MB
Formato Adobe PDF
2.96 MB Adobe PDF   Visualizza/Apri
Pubblicazioni consigliate

Aisberg ©2008 Servizi bibliotecari, Università degli studi di Bergamo | Terms of use/Condizioni di utilizzo

Utilizza questo identificativo per citare o creare un link a questo documento: https://hdl.handle.net/10446/151108
Citazioni
  • Scopus 14
  • ???jsp.display-item.citation.isi??? 13
social impact