Bjorn’s Beer Effect

Locally raised, and spent taxes, generally favour outcomes those paying the tax want, and less of those who think they know where best they could spend other people' money. Succinctly described thus:

Instead they have what I call the Bjorn’s Beer Effect. You’re in a society of 10,000 people. You know the guy who raises the local tax money and allocates that local tax money. You also know where he has a beer on a Friday night. More importantly Bjorn knows that everyone knows he collects and spends the money: and also where he has a beer on a Friday. That money is going to be rather better spent than if it travels off possibly 3,000 miles into some faceless bureaucracy.