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dc.contributor.author
Eichenauer, Vera
dc.date.accessioned
2021-02-25T06:03:13Z
dc.date.available
2021-02-25T06:03:13Z
dc.date.issued
2020-01
dc.identifier.uri
http://hdl.handle.net/20.500.11850/471545
dc.identifier.doi
10.3929/ethz-b-000393827
dc.description.abstract
Public spending often increases at the end of fiscal years. This is undesirable because late spending tends to be inefficient. The causes for these spending spikes are however poorly understood. This paper offers a novel identification strategy that relies on the historic variation in countries’ fiscal years to analyze their effect on government disbursements. We show that the end of fiscal years rather than alternative explanations cause spending spikes at the end of fiscal years. Our accounting data includes discretionary contributions of 27 OECD countries to the World Bank from 2002 to 2013 at the daily level. As suggested by the principal-agent theory, we find that the end of year effect is smaller in countries with high administrative quality. We analyze the pertinent budget institutions as possible mechanism. For the first time, we can show that unexpected positive demand shocks decrease year-end spending, a common assumption in the literature. Finally, we revisit the complementary explanations for year-end effects in public spending.
en_US
dc.format
application/pdf
en_US
dc.language.iso
en
en_US
dc.publisher
KOF Swiss Economic Institute, ETH Zurich
en_US
dc.rights.uri
http://rightsstatements.org/page/InC-NC/1.0/
dc.subject
sub-annual spending
en_US
dc.subject
fiscal year
en_US
dc.subject
year-end spending
en_US
dc.subject
bureaucratic quality
en_US
dc.subject
public performance
en_US
dc.subject
dynamic inefficiency
en_US
dc.subject
accounting system
en_US
dc.subject
foreign aid
en_US
dc.subject
World Bank
en_US
dc.title
December Fever in Public Finance
en_US
dc.type
Working Paper
dc.rights.license
In Copyright - Non-Commercial Use Permitted
ethz.journal.title
KOF Working Papers
ethz.journal.volume
470
en_US
ethz.size
60 p.
en_US
ethz.code.jel
JEL - JEL::F - International Economics::F3 - International Finance::F35 - Foreign Aid
en_US
ethz.code.jel
JEL - JEL::F - International Economics::F5 - International Relations, National Security, and International Political Economy::F53 - International Agreements and Observance; International Organizations
en_US
ethz.code.jel
JEL - JEL::H - Public Economics::H5 - National Government Expenditures and Related Policies::H50 - General
en_US
ethz.code.jel
JEL - JEL::H - Public Economics::H6 - National Budget, Deficit, and Debt::H61 - Budget; Budget Systems
en_US
ethz.publication.place
Zurich
en_US
ethz.publication.status
published
en_US
ethz.leitzahl
ETH Zürich::00002 - ETH Zürich::00012 - Lehre und Forschung::00007 - Departemente::02120 - Dep. Management, Technologie und Ökon. / Dep. of Management, Technology, and Ec.::03716 - Sturm, Jan-Egbert / Sturm, Jan-Egbert
en_US
ethz.leitzahl
ETH Zürich::00002 - ETH Zürich::00012 - Lehre und Forschung::00007 - Departemente::02120 - Dep. Management, Technologie und Ökon. / Dep. of Management, Technology, and Ec.::02525 - KOF Konjunkturforschungsstelle / KOF Swiss Economic Institute
ethz.leitzahl.certified
ETH Zürich::00002 - ETH Zürich::00012 - Lehre und Forschung::00007 - Departemente::02120 - Dep. Management, Technologie und Ökon. / Dep. of Management, Technology, and Ec.::02525 - KOF Konjunkturforschungsstelle / KOF Swiss Economic Institute
ethz.leitzahl.certified
ETH Zürich::00002 - ETH Zürich::00012 - Lehre und Forschung::00007 - Departemente::02120 - Dep. Management, Technologie und Ökon. / Dep. of Management, Technology, and Ec.::03716 - Sturm, Jan-Egbert / Sturm, Jan-Egbert
en_US
ethz.date.deposited
2020-12-23T13:44:34Z
ethz.source
FORM
ethz.eth
yes
en_US
ethz.availability
Open access
en_US
ethz.rosetta.installDate
2021-02-25T06:03:29Z
ethz.rosetta.lastUpdated
2021-02-25T06:03:29Z
ethz.rosetta.exportRequired
true
ethz.rosetta.versionExported
true
dc.identifier.olduri
http://hdl.handle.net/20.500.11850/458427
dc.identifier.olduri
http://hdl.handle.net/20.500.11850/393827
ethz.COinS
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