Fiscal autonomy and quality of governance in OECD countries
AbstractUsing a panel of 24 OECD countries, we study the link between the autonomy of sub-national governments and the quality of governance of a country. The results show that fiscal autonomy worsens citizens' perceptions of governance quality. In particular, the delegation of policy responsibilities to the regional level produces a robust negative effect on quality.
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Bibliographic InfoArticle provided by AccessEcon in its journal Economics Bulletin.
Volume (Year): 33 (2013)
Issue (Month): 1 ()
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Fiscal autonomy; Quality of governance; Fixed-effects vector decomposition estimator; Panel data analysis;
Find related papers by JEL classification:
- D7 - Microeconomics - - Analysis of Collective Decision-Making
- H1 - Public Economics - - Structure and Scope of Government
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