1. Police and Fire Salaries Have Risen Much Faster Than Salaries in Many Other Comparable Professions

We think this is driven by overtime.

2. Cities are More Likely to Have Increased Police Salaries than Police Employment

The picture looks the same for firefighters. But income and crime are not great at predicting a city’s choice.

Median Household Income

Crime

3. Population is Most Predictive of Employment and Salaries (Controlling for City and Year Fixed Effects)

Police

Employment

Salaries

Fire

Employment

Salaries

4. These Results Are Relatively Robust to Additional Covariates

But crime and fires are not very predictive of employment or salaries

Police

Employment

Salaries

Fire

Employment

Salaries

5. Cities that Cut Overall Budgets Still Generally Don’t Cut Police & Fire Salaries

6. Few Cities Have Increased Police Outlays More than Total Municipal Outlays

7. Percent Change in Home Prices is Pretty Predictive of Total Municipal Outlays

8. The Police Budget Share Has Decreased 30% from 13% to 9%

Police

Fire Share of Budget Has Also Decreased 30%, from 8% to 5%

9. Payroll as a Percent of Total Outlays has Also Declined Over Time

Police

Fire

10. Cities with Biggest Budget Increases Decreased Police Share the Most

Y: Percent Change Total Budget

Y: Percent Change Budget per Capita

Y: Percent Change Housing Prices

11. Change in Police Payroll is Highly Correlated with Police Outlays, but Not Perfectly

Police Outlays vs. Police Payroll

Fire Outlays vs. Fire Payroll

12. Over Time, Police Salaries are up (~20%), Employment is down (~5%), and so Is Crime

Police

Salaries

Employment

Crime

Fire Salaries are up (16%), employment is up (11%), and fires are up for our specific sample

Salaries

Employment

Fires

13. For Local Governments as a Whole (including county governments), Budget Shares Have Not Changed Dramatically across the Entire US

Note: Public Safety Includes Police, Fire, Corrections, and Investigations.