Population size or population density? An empirical examination of scale economies in South Australian local government, 2015/16

ABSTRACT

Advocates of amalgamation typically claim that substantial scale economies flow from municipal mergers, which generate larger local government entities by population size. We examined whether economies of scale exist in council outlays by analysing the expenditure of 68 South Australian local government areas using data from the 2015/16 financial year. However, given the correlation between population size and population density it is important to determine whether the influence of population size on expenditure is due to variations in population density. We find that when local government areas are stratified into subgroups on the basis of population density, the evidence of economies of scale largely evaporates. From a policy perspective, this suggests that in place of municipal mergers, policymakers should instead explore avenues for shared service arrangements in those functions which exhibit scale economies.     

Crucial Decisions By Small Towns and Villages: Why Did Some Municipalities Choose to Merge But Others Did Not During the Nationwide Wave of Municipal Mergers in Japan?

This article focuses on the nationwide wave of municipal consolidations in Japan that took place from 2003 to 2006 and examines why some municipalities merged but others did not. The central government did not legally force consolidations but instead provided municipalities with fiscal incentives. I argue that small municipalities were reluctant to merge because they would lose generous transfers from the central government as well as decision-making powers once they unified with their larger neighbors. Fiscal incentives by the central government significantly raised the cost of remaining intact and induced a large number of fiscally weak municipalities to merge.     

Analysing Local Policy Agendas: How Dutch Municipal Executive Coalitions Allocate Attention

Abstract

This article provides an analysis of the allocation of attention to policy problems on the local level, focusing on the executive agenda of six municipalities in the Netherlands over a 25-year period. It reveals that there is specifically a local politics of attention, showing differences between national and local policy agendas in specific policy areas. We did not find evidence that the political composition of the local executive coalitions leads to agenda differences, revealing the more problem-oriented and pragmatic nature of local politics. We did find evidence of an effect of institutional arrangements between national and local government on shifting patterns of attention, such as due to decentralisation. This shows that the local politics of attention is limited in scope and conditioned by the functions of local government and the institutional arrangements of policy making in the Dutch decentralised unitary state and that rearrangements affect these patterns of attention.     

How do municipal amalgamations affect turnout in local elections? Insights from the 2015 municipal reform in the Austrian state of Styria

In this paper, we evaluate the effect of municipal amalgamations on election turnout in local elections. Following recent studies, we argue that municipal mergers can lead to less information about the election being made available to citizens and less influence for individual voters. That is, while citizens in the local context usually rely on their own direct contacts in local offices and among political candidates, the subsequent increase in population size due to a merger reduces opportunities for establishing such contacts and for having decisive influence on political decisions. Consequently, voters are less informed and less engaged, resulting in lower levels of electoral turnout in local elections. We test our argument empirically by using aggregate level data from the municipal level from the 2010 and 2015 local elections in Styria, Austria, which followed the amalgamation of some, but not all, municipalities in January 2015. The empirical results support our argument.     

Territorial upscaling of local governments: a variable-oriented approach to explaining variance among Western European countries

Local government systems change at varying speeds. While some countries have dramatically reduced the number of local governments during a short period of time, other countries have seen only incremental change or relative inertia. A number of explanations for structural change have been put forward in the comparative local government literature, but these explanations have to a small extent been tested empirically. This article uses statistical indicators to analyse changes in the local government systems in 17 Western European countries between 2004 and 2014. Some often-cited explanations for what drives structural change receive little support. Still, the article demonstrates that changes tend to occur in situations marked by different combinations of decentralisation, urbanisation, fiscal stress and a recent history of territorial upscaling.     

Democratic Innovations to the Rescue? Political Trust and Attitudes Toward Democratic Innovations in Southwest Finland

It is difficult to govern when citizens are unsupportive of the political system. This problem is relevant for municipalities formed through municipal mergers since new political entities need to build political trust. Democratic innovations provide possible solutions to increase citizens’ confidence, but it is unclear whether distrusting citizens demand these opportunities for involvement. This study examines the link between political trust and support for democratic innovations in Southwest Finland with a survey of 2000 respondents in 14 municipalities. The results suggest that distrusting citizens are less supportive of democratic innovations; hence it is unlikely that they increase political trust.     

Assessing Public Participation Initiatives in Local Government Decision-Making in Malaysia

Increased public participation in government decisions contributes significantly to the enhancement of grass-roots democracy. This article assesses the level of involvement of local citizens in local government decisions in Malaysia. Public participation was assessed using questionnaires on the range and extent of initiatives used by local government. The questionnaires also probed citizens’ perceptions of these initiatives and expectations for greater citizen empowerment. Data were gathered from 206 local citizens randomly selected from six local authorities in the northern region of Malaysia. The findings reveal a desire on the part of local citizens to participate in their local government decision-making process.     

An Alternative Understanding of Political Participation: Challenging the Myth of Political Indifference in Hong Kong

Abstract

The characterization of Hong Kong's political culture as one of indifference deserves further examination as the inquiries conducted by proponents of the indifference framework have all used a narrow definition of political participation. This paper begins with a critique of the inherent narrowness of orthodox definitions of political participation: political participation as acts making demands on a government; as lawful activities; and as activities vis‐a‐vis one government. Contrast these assumptions, the author contends that political participation needs to be understood as activities that include both making demands on and showing support for a government, as well as both lawful and unlawful activities. Furthermore, the author refutes the one‐government‐locus theme of the orthodox concept and proposes a three‐government‐loci theme that is more relevant to the historical experience of the colonial Hong Kong. The political relevance of the social domain and its implications on broadening the definition of political participation are discussed. Finally, the author argues for the importance of considering discursive participation as a form of political participation in Hong Kong.     

Community Council Cooperation: The Lake Macquarie City Council Co-Governance Delegation Model

In its Better, Stronger Local Government, the Independent Local Government Review Panel (2012a, 2012b) advanced several claims regarding the performance of New South Wales (NSW) local government, including the supposed need for additional “sub-council” governance structures. This article argues that there is no need to “reinvent the wheel” in NSW local government by introducing additional “sub-council” structures since existing regulation already enables local authorities to engage in local co-governance. Using the example of the Lake Macquarie City Council (“LakeMac”) “delegation model,” the article shows that LakeMac has been successful in its endeavors to engage widespread community participation in co-governance to manage council facilities.     

Financial Health in Australian Local Government: The Application of a Funding Assessment Model to Brisbane and Sydney City Councils

Local government financial viability measurement in an accrual budgeting environment poses complex challenges. Financial measures frequently generate conflicting results. A rating scale to assess financial management, constructed originally for South African municipalities (Dollery & Graves, 2009), represents a useful tool to analyze financial health trends. Applying a “Likert-like” scale to financial performance measures to assess “funding compliance”, the model in this article assists municipalities to avoid financial difficulties. To demonstrate the applicability of this model, we apply the model to the Brisbane City Council and the Sydney City Councils. Results show that the model represents a valuable aid to financial management decision-making.     

Is Bigger Really Better? A Comparative Analysis of Municipal Mergers in Australian and Japanese Local Government

While structural reform by means of municipal mergers has been employed in many different countries, council consolidation has been especially marked in Australian and Japanese local government. This suggests that much can be learned by examining amalgamation through the analytical prism of comparative analysis. In this article, we investigate structural reform through municipal amalgamation in Australian and Japanese local government by examining the aims of amalgamation, the methods employed by public policy makers and the outcomes which were achieved. From this comparative analysis, we attempt to draw some broader lessons for local government policy making aimed at local government reform.