Decentralization in Argentina

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Decentralization in Argentina

Author Info

Nadir Habibi
Cindy Huang
Diego Miranda
Victoria Murillo
Gustav Ranis () (Economic Growth Center, Yale University)
Mainak Sarkar
Frances Stewart

Abstract

Human development, reflected in the status of people's levels of health and education, affects future growth and, in turn, is affected by decentralization. Unlike earlier exclusive emphasis on budgetary issues, this study focuses on the impact of fiscal decentralization on the level of human development. It traces the origin and recent development of revenue-sharing arrangements across Argentina's provinces over time (1970-94). The study regresses two indicators of health and educational status on two decentralization measures. It highlights the link between decentralization and human development outcomes and suggests that devolutionary decentralization has a positive influence on the effectiveness of public policy directed towards an improvement in the level of human development. Decentralization is shown to reduce intra- regional disparities and increase levels of human development. While the paper also recognizes problems associated with decentralization, including addressing inter-regional disparities, the positive impact of decentralization schemes on human development is seen to be of relevance in evaluating the Argentine co-participation regime which is currently under negotiation.

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Paper provided by Economic Growth Center, Yale University in its series Working Papers with number 825.

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Length: 57 pages
Date of creation: May 2001
Date of revision:
Handle: RePEc:egc:wpaper:825

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Find related papers by JEL classification:
O18 - Economic Development, Technological Change, and Growth - - Economic Development - - - Regional, Urban, and Rural Analyses

References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:

Jones, Mark P. & Sanguinetti, Pablo & Tommasi, Mariano, 2000. "Politics, institutions, and fiscal performance in a federal system: an analysis of the Argentine provinces," Journal of Development Economics, Elsevier, vol. 61(2), pages 305-333, April. [Downloadable!] (restricted)
Xie, Danyang & Zou, Heng-fu & Davoodi, Hamid, 1999. "Fiscal Decentralization and Economic Growth in the United States," Journal of Urban Economics, Elsevier, vol. 45(2), pages 228-239, March. [Downloadable!] (restricted)
Dillinger, William & Webb, Steven B., 1999. "Fiscal management in federal democracies : Argentina and Brazil," Policy Research Working Paper Series 2121, The World Bank. [Downloadable!]
Davoodi, Hamid & Zou, Heng-fu, 1998. "Fiscal Decentralization and Economic Growth: A Cross-Country Study," Journal of Urban Economics, Elsevier, vol. 43(2), pages 244-257, March. [Downloadable!] (restricted)
Pablo Sanguinetti, 1994. "Intergovernmental transfers and public sector expenditures: a game-theoretic approach," Estudios de Economia, University of Chile, Department of Economics, vol. 21(2 Year 19), pages 179-212, December. [Downloadable!]
Wallace, T D & Hussain, Ashiq, 1969. "The Use of Error Components Models in Combining Cross Section with Time Series Data," Econometrica, Econometric Society, vol. 37(1), pages 55-72, January. [Downloadable!] (restricted)
Zhang, Tao & Zou, Heng-fu, 1998. "Fiscal decentralization, public spending, and economic growth in China," Journal of Public Economics, Elsevier, vol. 67(2), pages 221-240, February. [Downloadable!] (restricted)
Other versions:
- Tao Zhang & Heng-fu Zou, 1996. "Fiscal decentralization, public spending, and economic growth in China," Policy Research Working Paper Series 1608, The World Bank. [Downloadable!]

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Cited by:
(explanations, Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.)

David Cantarero Prieto & Marta Pascual Saez, . "Decentralisation and health care outcomes: An empirical analysis within the European Union," Studies on the Spanish Economy 220, FEDEA. [Downloadable!]
Dolores Jiménez-Rubio & Peter C. Smith & Eddy Van Doorslaer, 2008. "Equity in health and health care in a decentralised context: evidence from Canada," Health Economics, John Wiley & Sons, Ltd., vol. 17(3), pages 377-392. [Downloadable!]
Dolores Jimenez & Peter C Smith, . "Decentralisation of health care and its impact on health outcomes," Discussion Papers 05/10, Department of Economics, University of York. [Downloadable!]

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