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Fiscal decentralization and internal conflict: an empirical investigation

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  • Roberto Ezcurra

Abstract

This paper examines the relationship between fiscal decentralization and internal conflict in seventy-seven countries during the period 1972–2000. The results show that the devolution of fiscal power to subnational tiers of government reduces the incidence of civil conflict. This finding is robust to the inclusion in the analysis of the degree of political decentralization and of a number of control variables commonly employed in the literature. Likewise, the observed relationship does not depend on the estimation strategy or the specific measures used to quantify the degree of fiscal decentralization and the incidence of civil conflicts within the various countries.

Suggested Citation

  • Roberto Ezcurra, 2015. "Fiscal decentralization and internal conflict: an empirical investigation," Environment and Planning C, , vol. 33(3), pages 580-600, June.
    • Handle: RePEc:sae:envirc:v:33:y:2015:i:3:p:580-600
    DOI: 10.1068/c13141r
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    References listed on IDEAS

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    1. Farzanegan, Mohammad Reza & Lessmann, Christian & Markwardt, Gunther, 2018. "Natural resource rents and internal conflicts: Can decentralization lift the curse?," Economic Systems, Elsevier, vol. 42(2), pages 186-205.
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    Cited by:

    1. Armey, Laura E. & McNab, Robert M., 2018. "Expenditure decentralization and natural resources," The Quarterly Review of Economics and Finance, Elsevier, vol. 70(C), pages 52-61.

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