Changing boundaries is a major method for municipalities to accommodate growth, expand economic and tax base, and optimize resource allocation. This study leverages variation in the adoption of home rule charters in Texas to provide the first empirical examination of whether home rule adoption causes municipal boundary expansion. We employ fuzzy regression-discontinuity and event-study estimation methods on actual boundary data for causal inference and find that home rule cities expand their boundaries to significantly greater total area than general law cities in Texas. This finding is robust to the voluntary Boundary and Annexation Surveys data used widely by extant studies. We also find evidence that annexations allow home rule cities to fiscally expand, primarily by broadening tax bases.
annexation boundary change event study home rule regression discontinuity UIOWA OA Agreement
Details
Title: Subtitle
The Impact of Home Rule on Municipal Boundary and Fiscal Expansion: Evidence from Texas
Creators
Pengju Zhang - Rutgers University–Newark
Phuong Nguyen-Hoang - University of Iowa, School of Planning and Public Affairs
Na Chen - Sun Yat-sen University
Resource Type
Journal article
Publication Details
Journal of regional science, Vol.62(5), pp.1442-1466
Publisher
Wiley
DOI
10.1111/jors.12610
ISSN
0022-4146
eISSN
1467-9787
Language
English
Date published
06/21/2022
Academic Unit
School of Planning and Public Affairs; Public Policy Center (Archive)