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The authors found that financial indicators significantly affect resident satisfaction. This suggests that council managers can improve resident satisfaction by effectively addressing financial sustainability problems. From a public policy perspective, the authors’ findings show that policy intervention should be tailored to meet the specific circumstances of different kinds of local councils. In particular, ‘one-size-fits-all’ policy intervention would be counter-productive given the differences between urban and rural councils.

Does financial sustainability affect local resident satisfaction? The case of the Victorian local government system