Work

Municipal structure and government creditworthiness: Evidence from Massachusetts municipalities

Year: 2024

Type: article

Abstract: Municipal structure plays a vital role in the politics and administration of cities. Conventional classifications of municipal structures into mayor-council or council-manager systems have limitations, overlooking important subsidiary features. This study investigates seven structural characteristics of U.S. municipalities, constructing a political-administrative index to assess their impact on government creditworthiness. Theoretically, municipal structure affects government management in terms of accountability and efficiency, influencing performance and credit ratings. Empirical analyses, using data from ICMA surveys and Massachusetts’ Division of Local Services, show that the administrative or professional municipal structure receives higher credit ratings from Moody’s. These findings have significant scholarly and practical implications for understanding municipal structure and government creditworthiness.

Source: Chinese Public Administration Review

DOI: 10.1177/15396754241300346

Authors: Wenchi Wei, Chuping Zhang

Institutions: Tsinghua University, University of International Business and Economics

Language: English

Topic: Local Government Finance and Decentralization

Subfield: Political Science and International Relations

Field: Social Sciences

Domain: Social Sciences

SDG: Sustainable cities and communities

Open Access status: gold

Estimated APC paid: $3,450