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Forms of government and municipal financial performance

Authors
Lee, HakyeonPark, JinsolButler, J. S.
Issue Date
May-2023
Publisher
ROUTLEDGE JOURNALS, TAYLOR & FRANCIS LTD
Keywords
Chief administrative officer (CAO); forms of government; incentive structure; local government; municipal bond ratings
Citation
PUBLIC MONEY & MANAGEMENT, v.43, no.4, pp 311 - 320
Pages
10
Journal Title
PUBLIC MONEY & MANAGEMENT
Volume
43
Number
4
Start Page
311
End Page
320
URI
https://scholarworks.bwise.kr/cau/handle/2019.sw.cau/63015
DOI
10.1080/09540962.2021.1923168
ISSN
0954-0962
1467-9302
Abstract
The authors examined the impact of municipal government structures on the bond ratings of municipalities in the USA. While their initial analysis suggested that the mayor-council system has a negative impact on municipal bond ratings, the application of Nelson and Svara's (2010) government typology demonstrated that the political influence of a mayor on the appointment of the chief administrative officer is a driving factor that negatively affects bond ratings, regardless of the government being a mayor-council or a council-manager form.
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