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• W1527861183 abstract "We analyze a model where the federal government provides risk sharing arrangements to municipalities investing in a local public good. The risk sharing arrangements are an income equalization system and a system allowing for a soft budget constraint, i.e., a bailout. Our main result is that a bailout system in combination with income equalization can be a more efficient risk sharing arrangement than an income equalization system only. Thus, the introduction of a bailout system is welfare improving." @default.
• W1527861183 created "2016-06-24" @default.
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• W1527861183 date "2006-01-26" @default.
• W1527861183 modified "2023-09-27" @default.
• W1527861183 title "Soft Budget Constraints as a Risk Sharing Arrangement in an Economic Federation" @default.
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