EXPLANATORY FACTORS FOR THE BUDGET EXPENDITURE EFFECTIVENESS IN BRAZILIAN CITY

Abstract

The present study investigates the factors that explain the effectiveness of budget expenditure in Brazilian municipalities. Through an analysis of 4.532 Brazilian municipalities using the robust Tobit regression model, the results point as explanatory factors for the Effectiveness of Budgetary Expenditure: the realized revenue; GDP per capita; small and medium sized municipalities when compared to large ones; the municipalities of the Southeast and South regions in relation to those of the Midwest; managers, aged between 60 and 69 years old and having completed high school and higher education. The results indicate, for citizens, information on how to evaluate the performance of the public administration, in relation to the aspect of its effectiveness.

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