The paper aims at
examining the relationship between the allocations of funds at the local
government level and the economic well-being of citizens. The results of this study help shed light on ways to get the best out
of every dollar spent by local governments. Three empirical proxy measures for citizen well-being were used in the
estimation of three different panel data models. Results suggest that some types of government
expenditure can have a positive influence on citizen well-being. The analysis provides insights into how economic development
policies may be conceived by local governments to ensure sustained economic prosperity
of its citizens.
Cite this paper
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