Revista de Políticas Públicas (Jan 2016)
DESPESAS PÚBLICAS COM SAÚDE E EDUCAÇÃO NOS MUNICÍPIOS DO ESPÍRITO SANTO: uma investigação empírica
Abstract
The objective of this paper was to verify the determinants of public expenditure on health and education in the municipalities of Espírito Santo, based on the median voter theory and the traditional econometric approach. Census data refer to 2010. For health the variables significant were: price (tax-price), income, population, IDH, percentage of rural population and population density. As for education were: price, income, population, IDH, percentage of population aged 15 years and population density. The price elasticity proved to be inelastic and the estimated income elasticity allowed to reference the public goods related to health and education as normal/superior. The coefficient of congestion effect showed a value less than unity both for health and for education, demonstrating the presence of economies of scale to be exploited for these public goods.