This article examines whether local government expenditure in Mauritius is characterised by an intertemporal decision-making path. In other words, to what extent does local government expenditure respond to contemporaneous changes in revenues. In this respect, the article contributes to the existing body of literature by exploring the context of an upper-middle-income country like Mauritius while factoring intertemporal choice in the supply of local public goods. Moreover, the article determines the short-run and long-run responsiveness of local public expenditure to Gross Domestic Product (GDP) through an error correction model based on time series data for Mauritius over the period 1987–2017. Our findings indicate that local government spending becomes less sensitive to its previous values when GDP and its past values are introduced as control variables in the model. Local government expenditure and real output are also found to be co-integrated or to share a long-term relationship.

JEL Classification: B22, C1, D9, H4, H11

本文研究了毛里求斯的地方政府支出是否具有跨时期的决策路径。换句话说，地方政府支出在多大程度上响应了同期的收入变化。在这方面，本文通过探讨像毛里求斯这样的中等偏上收入国家的情况，同时考虑了当地公共产品供应的跨时选择，为现有文献做出了贡献。此外，本文通过基于1987-2017年期间毛里求斯时间序列数据的纠错模型，确定了地方公共支出对国内生产总值（GDP）的短期和长期响应性。我们的发现表明，当将GDP及其过去的值作为模型的控制变量引入时，地方政府的支出对其先前的值变得不那么敏感。还发现地方政府的支出和实际产出是相互结合的，或者有着长期的关系。

JEL分类： B22，C1，D9，H4，H11