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The per capita expenditure on community welfare of the municipality of San Javier is five times greater than that of La Unión (12/12/2016)

The level of spending of the municipalities is related to the one of the municipalities of their surroundings because the citizens are fixed in the services rendered in the nearby localities and demand to their similar governors service.

This is one of the conclusions of the two doctoral theses developed in the group on Quantitative Methods of the Universidad Politécnica de Cartagena (UPCT), recognized as being of excellence by the Seneca Foundation.

The researchers analyze the importance of geography in the location of companies and the effects of spatial contagion on the spending of neighboring municipalities.

The researcher Pedro José Martínez Ortiz has analyzed the municipal expenditure of all Spanish municipalities of more than 5,000 inhabitants for several years and the distribution of the different budgetary items.

"Their thesis argues that municipalities do not act in isolation and that the fiscal policy they implement is influenced by spending by neighboring municipalities. Thus, there are correlation effects on spending in different spending programs, which may be cooperative If a municipality with a significant weight, such as Murcia or Cartagena, makes strong investments in Culture, neighboring municipalities can disinvest in these spending programs and modify their fiscal policy or direct those resources to other programs "

The international journal 'Annals of Regional Science', one of the most prestigious in Regional Science, recently published an article with the methodology and results of this research on spatial contagion in spending among nearby municipalities, embodied in the doctoral thesis of Martínez Ortiz Co-chaired by the professors of the Faculty of Sciences of the Company Fernando López and Juan Gabriel Cegarra.

Municipalities of the Region of Cartagena

The data of the municipalities that form the Region of Cartagena offer very different values.

With regard to total expenditure, La Unión is the municipality with a lower per capita expenditure with only € 516 per inhabitant, while the municipalities of San Javier and Los Alcázares have expenses in excess of € 1,200 per inhabitant.

A more detailed analysis reveals strong differences between these municipalities.

For example, the expenditure on Community Welfare (Sanitation, Cleaning, Lighting ...) in the municipality of San Javier (€ 384) is five times that of La Union (€ 75).

The researchers of the group in 'Economic modeling and non-parametric statistics' of the Polytechnic of Cartagena have obtained the only aid for projects of Social Sciences of groups of scientific excellence of the call that every five years launches the Seneca Foundation of the Autonomous Community.

Source: UPCT

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