Fiscal and Political Decentralization and Government Quality
AbstractIn this paper we apply both cross-section and panel analysis to the relationship between fiscal and political decentralization and government quality. We find that fiscal decentralization has a positive impact. Moreover, political decentralization tends to reduce the positive impact of fiscal decentralization on the quality of government. This negative impact of political decentralization on government quality persists when controlling for the degree of democratic maturity of countries but disappears when controlling for the extent of experience with statehood or public administration. This suggests that it is more affordable, in terms of government quality, to combine fiscal and political decentralization in countries with a long history of statehood.
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Bibliographic InfoPaper provided by International Center for Public Policy, Andrew Young School of Policy Studies, Georgia State University in its series International Center for Public Policy Working Paper Series, at AYSPS, GSU with number paper1005.
Length: 33 pages
Date of creation: 01 Feb 2010
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Web page: http://aysps.gsu.edu/isp/index.html
Quality of government; fiscal decentralization; political decentralization; democratic maturity; cross-section and panel data;
Other versions of this item:
- Andreas P Kyriacou & Oriol Roca-Sagal�s, 2011. "Fiscal and political decentralization and government quality," Environment and Planning C: Government and Policy, Pion Ltd, London, vol. 29(2), pages 204-223, April.
- NEP-ALL-2010-05-15 (All new papers)
- NEP-CDM-2010-05-15 (Collective Decision-Making)
- NEP-PBE-2010-05-15 (Public Economics)
- NEP-POL-2010-05-15 (Positive Political Economics)
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