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Regions of Europe : A Feasible Status, to be discussed

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  • DREZE , Jacques H.

    ()
    (CORE, Université catholique de Louvain, B-1348 Louvain-la-Neuve, Belgium)

Abstract

A new concept is proposed, that of "Regions of Europe", which do not have full statehood and belong not to any state but to the Community directly. Without endorsing this possibility, and limiting itself to its economic aspects, this article investigates in particular how assets and liabilities should be apportioned at the time of a secession. It argues in favour of distributive neutrality: net incomes are unchanged by the secession itself, in both the seceding region and the rest of the nation. How distributive neutrality could be implemented is explored through a number of suggestive examples. In general, a region receives a share of the public debt related to its share of the public primary deficit, with corrections to account for growth, unsustainability of the public debt, and so on.

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Bibliographic Info

Paper provided by Université catholique de Louvain, Center for Operations Research and Econometrics (CORE) in its series CORE Discussion Papers with number 1993037.

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Date of creation: 01 Oct 1993
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Handle: RePEc:cor:louvco:1993037

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Cited by:
  1. Bruno S. Frey & Alois Stutzer, . "The Role of Direct Democracy and Federalism in Local Power," IEW - Working Papers 209, Institute for Empirical Research in Economics - University of Zurich.
  2. Lücke, Matthias, 1994. "The scope for competition among regional governments in the Russian Federation," Kiel Working Papers 649, Kiel Institute for the World Economy.
  3. Alberto Alesina & Enrico Spolaore, 1995. "On the Number and Size of Nations," NBER Working Papers 5050, National Bureau of Economic Research, Inc.
  4. Enrico Spolaore & Alberto Alesina & Romain Wacziarg, 2000. "Economic Integration and Political Disintegration," American Economic Review, American Economic Association, vol. 90(5), pages 1276-1296, December.
  5. Thushyanthan Baskaran, 2010. "Supranational integration and national reorganization: On the Maastricht treaty’s impact on fiscal decentralization in EU countries," Constitutional Political Economy, Springer, vol. 21(4), pages 309-335, December.
  6. Rauscher, Michael, 1996. "Interjurisdictional competition and the efficiency of the public sector: The triumph of the market over the state?," Kiel Working Papers 732, Kiel Institute for the World Economy.
  7. Seabright, Paul, 1996. "Accountability and decentralisation in government: An incomplete contracts model," European Economic Review, Elsevier, vol. 40(1), pages 61-89, January.
  8. Era Dabla-Norris & Shlomo Weber, 2001. "Regional Disparities and Transfer Policies in Russia," IMF Working Papers 01/199, International Monetary Fund.
  9. Grégoire ROTA GRAZIOSI, 2001. "Une analyse économique de la sécession," Discussion Papers (REL - Recherches Economiques de Louvain) 2001034, Université catholique de Louvain, Institut de Recherches Economiques et Sociales (IRES).
  10. Baskaran, Thushyanthan, 2009. "Supranational Integration And National Reorganization," MPRA Paper 21597, University Library of Munich, Germany.

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