Advanced Search
MyIDEAS: Login

Fiscal Decentralization and Economic Growth in Spain

Contents:

Author Info

  • Josep Lluís Carrion-i-Silvestre

    (University of Barcelona, Spain)

  • Marta Espasa

    (University of Barcelona, Spain)

  • Toni Mora

    (Universitat Internacional de Catalunya, Barcelona, Spain)

Abstract

This article analyzes the contribution of the Spanish fiscal decentralization process to economic growth at both the aggregate and regional levels. Our main conclusion is that at the aggregate level, the process of decentralization of responsibilities to autonomous communities (ACs) has not had significant effects on Spanish economic growth when fiscal decentralization is measured in terms of revenue and investment shares, while a statistically significant negative effect is found when decentralization is measured through expenditure shares. When the study is carried out from a regional point of view, we find that fiscal decentralization at the AC level has a positive effect on economic growth for those ACs with the highest levels of fiscal and institutional decentralization, but the opposite effect is found for those ACs with the lowest levels of competencies. Decentralization at the local level has a significant positive effect for ACs with complete fiscal autonomy.

Download Info

If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
File URL: http://pfr.sagepub.com/content/36/2/194.abstract
Download Restriction: no

Bibliographic Info

Article provided by in its journal Public Finance Review.

Volume (Year): 36 (2008)
Issue (Month): 2 (March)
Pages: 194-218

as in new window
Handle: RePEc:sae:pubfin:v:36:y:2008:i:2:p:194-218

Contact details of provider:

Related research

Keywords: fiscal decentralization; institutional decentralization; economic growth; panel data;

References

No references listed on IDEAS
You can help add them by filling out this form.

Citations

Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
as in new window

Cited by:
  1. Matthew J. Higgins & Daniel Levy & Andrew T. Young, 2008. "Federal, State, and Local Governments: Evaluating Their Separate Roles in U.S. Growth," Emory Economics 0801, Department of Economics, Emory University (Atlanta).
  2. Diaz-Serrano, Luis & Meix-Llop, Enric, 2012. "Do Fiscal and Political Decentralization Raise Students' Performance? A Cross-Country Analysis," IZA Discussion Papers 6722, Institute for the Study of Labor (IZA).
  3. Paul Hallwood & Ronald MacDonald, 2008. "A Review of the Empirical Evidence on the Effects of Fiscal Decentralization on Economic Efficiency: With Comments on Tax Devolution to Scotland," Working papers 2008-46, University of Connecticut, Department of Economics.
  4. Juan González Alegre, 2010. "Fiscal decentralization and intergovernmental grants: the European regional policy and Spanish autonomous regions," Working Papers 2010/6, Institut d'Economia de Barcelona (IEB).
  5. Nasir Iqbal & Musleh ud Din & Ejaz Ghani, 2013. "Fiscal Decentralisation and Economic Growth: Role of Democratic Institutions," PIDE-Working Papers 2013:89, Pakistan Institute of Development Economics.
  6. Duc Vo, 2008. "The Economics of Measuring Fiscal Decentralisation Part 4: Fiscal Decentralisation in Vietnam, China, and Selected Asean Nations," Economics Discussion / Working Papers 08-16, The University of Western Australia, Department of Economics.
  7. Philip Bodman & Kelly-Ana Heaton & Andrew Hodge, . "Fiscal Decentralisation and Economic Growth: A Bayesian Model Averaging Approach," MRG Discussion Paper Series 3509, School of Economics, University of Queensland, Australia.
  8. Pierre Salmon, 2013. "Decentralization and growth: what if the cross-jurisdiction approach had met a dead end?," Constitutional Political Economy, Springer, vol. 24(2), pages 87-107, June.
  9. Patricio Perez & David Cantarero, 2010. "Decentralization and Regional Government Size: an Application to the Spanish Case," International Center for Public Policy Working Paper Series, at AYSPS, GSU paper1032, International Center for Public Policy, Andrew Young School of Policy Studies, Georgia State University.
  10. Paul Hallwood, 2010. "Reforming Taxation in the Scotland Act (1998): Hard Budget Constraints and the Inadequacy of the Calman Commission Proposals," Working papers 2010-19, University of Connecticut, Department of Economics.
  11. ESTEBAN, Sonia & DE FRUTOS, Pablo & PRIETO; Maria Jose, 2008. "Fiscal Decentralization And Economic Growth. Empiric Evidence From A Regional Perspective," Regional and Sectoral Economic Studies, Euro-American Association of Economic Development, vol. 8(1), pages 29-58.
  12. Díaz Serrano, Lluís & Meix Llop, Enric, 2012. "Do Fiscal and Political Decentralization Raise Students’ Performance? A Cross-Country Analysis," Working Papers 2072/203156, Universitat Rovira i Virgili, Department of Economics.

Lists

This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

Statistics

Access and download statistics

Corrections

When requesting a correction, please mention this item's handle: RePEc:sae:pubfin:v:36:y:2008:i:2:p:194-218. See general information about how to correct material in RePEc.

For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (SAGE Publications).

If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

If references are entirely missing, you can add them using this form.

If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

Please note that corrections may take a couple of weeks to filter through the various RePEc services.