Work

Bonds on the Ballot: What Voters (Don't) Know About Debt Financing and Why It Matters

Year: 2026

Type: article

Abstract: ABSTRACT American subnational governments commonly require voters to approve bond proposals, reflecting historical concerns about legislative shortsightedness. Yet voters need an understanding of how bond financing works to make choices consistent with preferences. Existing literature makes it unclear whether voters have such knowledge. Using original survey data, we find only about half of voters can identify how bonds are financed. An experiment shows that simple cues can change voter preferences for using bonds or taxes. These findings cast doubt on whether bond elections reveal true preferences and suggest there may be better means to prevent poor bond decisions.

Source: Public Budgeting &amp Finance

DOI: 10.1111/pbaf.70014

Authors: Shanna Pearson‐Merkowitz, Joshua J. Dyck, Edward L. Lascher, Corey Lang

Institutions: University of Maryland, College Park, University of Massachusetts Lowell, California State University, Sacramento, University of Rhode Island

Language: English

Topic: Fiscal Policies and Political Economy

Subfield: Economics and Econometrics

Field: Economics, Econometrics and Finance

Domain: Social Sciences

Open Access status: hybrid

Estimated APC paid: $3,470

Funders: U.S. Department of Agriculture, Florida State University, National Institute of Food and Agriculture