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Intergovernmental Transfers and Decentralised Public Spending

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Author Info

  • Daniel Bergvall
  • Claire Charbit
  • Dirk-Jan Kraan
  • Olaf Merk

Abstract

Intergovernmental grants are used in many countries to finance subnational spending and to implement national policies. However, the governance of grants is complex, and practices vary widely across OECD countries. The aim of this article is to provide a study of grant design that will be useful to policy makers. The article attempts to integrate both theoretical and empirical insights from the fiscal federalism literature as well as information obtained directly from practitioners concerning their experiences with the implementation of different types of grants. A typology of grants is presented, as well as an overview of the purposes of grants. The article concludes with some principles of grant design and implementation issues.

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File URL: http://dx.doi.org/10.1787/budget-v5-art24-en
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Bibliographic Info

Article provided by OECD Publishing in its journal OECD Journal on Budgeting.

Volume (Year): 5 (2005)
Issue (Month): 4 ()
Pages: 111-158

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Handle: RePEc:oec:govkaa:5l9k4g83wkf1

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Cited by:
  1. Jorge Martinez-Vazquez & Yongzheng Liu, 2011. "Designing the Local Government Enhancement Fund for the Philippines," International Center for Public Policy Working Paper Series, at AYSPS, GSU paper1120, International Center for Public Policy, Andrew Young School of Policy Studies, Georgia State University.
  2. Carlos Antonio Luque & Eduardo Amaral Haddad & Gilberto Tadeu Lima & Sérgio Naruhiko Sakurai & Silvio M. A. Costa, 2011. "Impact Assessment Of Interregionalgovernment Transfers In Brazil: An Input-Output Approach," Anais do XXXVIII Encontro Nacional de Economia [Proceedings of the 38th Brazilian Economics Meeting] 117, ANPEC - Associação Nacional dos Centros de Pósgraduação em Economia [Brazilian Association of Graduate Programs in Economics].
  3. Andrew Abbott & Philip Jones, 2013. "Procyclical government spending: a public choice analysis," Public Choice, Springer, vol. 154(3), pages 243-258, March.
  4. repec:hal:journl:halshs-00492085 is not listed on IDEAS
  5. Katarina Elofsson, 2011. "Delegation of Decision-Rights for Wetlands," Environmental & Resource Economics, European Association of Environmental and Resource Economists, vol. 50(2), pages 285-303, October.
  6. Hansjörg Blöchliger & Claire Charbit, 2008. "Fiscal equalisation," OECD Journal: Economic Studies, OECD Publishing, vol. 2008(1), pages 1-22.
  7. Faber, Riemer & Koning, Pierre, 2012. "Why Not Fully Spend a Conditional Block Grant?," IZA Discussion Papers 6712, Institute for the Study of Labor (IZA).
  8. Karolina Kaiser & Emmanuelle Taugourdeau, 2010. "The Timing of Elections in Federations : A Disciplining Device against Soft Budget Constraints ?," Documents de travail du Centre d'Economie de la Sorbonne 10036, Université Panthéon-Sorbonne (Paris 1), Centre d'Economie de la Sorbonne.
  9. Abbott, Andrew & Jones, Philip, 2012. "Intergovernmental transfers and procyclical public spending," Economics Letters, Elsevier, vol. 115(3), pages 447-451.
  10. Ernesto Longobardi, 2011. "From transfers to tax "co-occupation": the Italian reform of intergovernmental finance," series 0038, Dipartimento di Scienze Economiche e Metodi Matematici - Università di Bari, revised Dec 2011.
  11. Johann Bröthaler & Michael Getzner, 2011. "Fiscal Autonomy and Total Government Expenditure: An Austrian Case-study," International Advances in Economic Research, Springer, vol. 17(2), pages 134-156, May.

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