Evaluation of consolidation of municipal cooperation based on administrative cost inefficiency

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  • 行政コスト不効率性に基づく市町村合併の評価
  • ギョウセイ コスト フコウリツセイ ニ モトヅク シチョウソン ガッペイ ノ ヒョウカ

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Abstract

In order to enhance local government function in terms of fiscal and of administrative aspects, consolidation policy of local governments has been strongly implemented in Japan. Because administrative cost per capita against municipal population shows U-shape, population giving the least administrative cost is often considered as desirable goal in the consolidation planning. However, such a naïve discussion on administrative costs per capita and municipal population would mislead the cost structure of local government. In our study, the slack in administrative cost per capita is measured using stochastic frontier model (SFM). Then, time series of slacks among the consolidated municipalities are compared to clarify whether the consolidation contribute to decrease per capita slack, or not.

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