20 OCT 2026 - 07:34 CET

Our paper titled "Regional Funding, Indebtedness, and (Un)Rewarded Efficiency: Dynamic Multivariate Evidence from the Spanish Autonomous Communities", and coauthored with Jorge Onrubia Fernández y Hugo Emilio Quiñones Pinilla(ICEI-UCM), Hacienda Pública Española / Review of Public Economics (No. 258, 2026), we aim to answer whether Spain’s regional funding system reward efficient public spending, or it does push underfunded regions into debt by studing the 15 common-regime Autonomous Communities over 2005-2019, using a multivariate Granger-causality framework with graphical modelling.

Key findings: