American Journal of Economics and Business Administration

Explaining Local Growth-Management Policies: The Role of Public Goods

Donna Driscoll, Dennis Halcoussis and Anton D. Lowenberg

DOI : 10.3844/ajebasp.2010.45.55

American Journal of Economics and Business Administration

Volume 2, Issue 1

Pages 45-55

Abstract

Problem statement: Local jurisdictions such as cities and counties enact a wide variety of growth-management regulations, such as zoning ordinances and growth-promoting incentives. Approach: Use a theory of local public goods to identify the conditions under which jurisdictions are most likely to implement growth-management regulations. Predictions of the theory regarding variation in pro-growth measures across jurisdictions were tested using data on California cities. Results: Communities whose current expenditures on public amenities are high typically have more extensive growth-promoting policies, while communities that already have substantial public infrastructure in place are less likely to implement effective pro-growth measures. Conclusion: These findings suggest that changes in stocks and flows of public goods can be used as predictors of the incidence of growth controls.

Copyright

© 2010 Donna Driscoll, Dennis Halcoussis and Anton D. Lowenberg. This is an open access article distributed under the terms of the Creative Commons Attribution License, which permits unrestricted use, distribution, and reproduction in any medium, provided the original author and source are credited.