Public goods and ethnic divisions

摘要: The authors present a model that links heterogeneity of preferences across ethnic groups in city to the amount and type public good supplies. Results show shares spending on productive goods - education, roads, sewers, trash pickup _ U.S. cities (metro areas/urban counties) are inversely related city's area's/county's) fragmentation, even after controlling for other socioeconomic demographic determinants. They conclude conflict is an important determinant local finances. In where polarized, politicians have constituencies, share goes low. Their results driven mainly by how white-majority react varying minority-groups sizes. Voters choose lower when significant fraction tax revenues collected from one group used provide shared with groups.