Chapter 54

Urban Political Economics

Robert W. Helsley

University of British Columbia, Vancouver, Canada. JEL classification: D72, D78, H11, H72, H73, H77, L33, R5


This chapter considers the role of economic and political institutions in the formation of local public policies. The chapter has three objectives. First, to synthesize the dominant models of local policy formation with mobile households, with particular emphasis on the objectives that are attributed to the institutions that provide collective goods. Second, to describe and model local political institutions, and consider their implications for taxes, expenditures and voting behavior. Third, to examine how institutional change, specifically the entry of new institutions ...

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