Abstract
Gore’s article explores the determinants and implications of cash reserves. Here, we replicate Gore’s finding of a positive relationship between environmental uncertainty and municipal fund balances using the same data, the same specifications, and the same econometric software. We also test the robustness of her original findings by adding years and observations. We show that the empirical results reported in Gore’s article are largely replicable and that its results are robust to substantial data extensions. Nevertheless, we believe that Gore reaches normative conclusions that municipalities hold “excess cash reserves,” which are not justified by her empirical results.
Keywords
Get full access to this article
View all access options for this article.
References
Supplementary Material
Please find the following supplemental material available below.
For Open Access articles published under a Creative Commons License, all supplemental material carries the same license as the article it is associated with.
For non-Open Access articles published, all supplemental material carries a non-exclusive license, and permission requests for re-use of supplemental material or any part of supplemental material shall be sent directly to the copyright owner as specified in the copyright notice associated with the article.
