Data and Code for: Political Parties Do Matter in U.S. Cities ... For Their Unfunded Pensions

This paper studies public-sector pension obligations, the biggest fiscal challenge currently facing many U.S. cities. Employing a regression discontinuity design around close elections, benefit payments out of a city's public-sector pensions are shown to grow faster under Democratic-party mayors, while contributions into the pensions do not. Previous research showed that parties do not matter for a wide range of cities' fiscal expenditures, and explained this with voters imposing fiscal discipline. This paper replicates previous results, but shows that parties can matter for shrouded expenditure types that voters do not pay attention to, especially if they benefit well-organized interest groups.<br>