Impact of fiscal and non-fiscal factors on the municipal debt: the case of Wielkopolska region in Poland

• Autorzy: Galiński Paweł

Identyfikatory

DOI

10.29119/1641-3466.2023.175.8

• Języki publikacji: EN

Abstrakty

EN

Purpose: The aim of the paper is to examine indebtedness factors in the field of the structure of own revenues and expenditure as well as spatial relationships on the example of municipalities of the Wielkopolska Region in Poland. Design/methodology/approach: The subject literature was studied to present miscellaneous predictors of the indebtedness of the local governments. Then, using the fiscal, socio-economic, and political variables for 222 municipalities from Wielkopolska Region in Poland, panel data models with fixed effects were estimated for the period 2010-2021, and the spatial autocorrelation statistics. Findings: There is a direct relationship between the share of PIT and CIT in own revenues and the indebtedness of the municipalities. Furthermore, the decrease of the unemployment and the growth of the business density contribute to the decrease in the debt to revenues ratio. In addition, the increase of the indebtedness resulted from an increase of the investment activity, the share of spendings on wages as well as the expenditures on education. The use of EU funds also stimulates the indebtedness of the municipalities. Moreover, in 2018-2021 the territorial proximity affected the weak, positive correlation of the debt to revenues ratio between the municipalities. Research limitations/implications: The research presents the predictive power of the applied variables, which contributes to the identification of the role of the predictor in the creation of debt. Practical implications: The research study is aimed at the estimation of the models, which could be applied to predict the level of the indebtedness in the municipalities. Social implications: The research contributes to the higher recognition of the relationships between the changing fiscal, economic and political circumstances on the indebtedness of the municipality, e.g., in the process of creating local strategies. Originality/value: The study examines the indebtedness factors concerning the composition of the own revenues and expenditures, as well as the socio-economic issues and spatial relationships, considering the predictive power of each factor.

Słowa kluczowe

EN

municipality; debt; predictors; panel models; spatial autocorrelation statistics

PL

gmina; zadłużenie; predyktory; modele panelowe; statystyka autokorelacji przestrzennej

• Wydawca: Wydawnictwo Politechniki Śląskiej
• Czasopismo: Zeszyty Naukowe. Organizacja i Zarządzanie / Politechnika Śląska
• Rocznik: 2023
• Tom: z. 175
• Strony: 111--136
• Opis fizyczny: Bibliogr. 79 poz.

Twórcy

autor

Galiński Paweł

• University of Gdańsk, Faculty of Management, Department of Banking and Finance

• https://orcid.org/0000-0002-9407-4515

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