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Decentralization of social protection expenditure and economic growth in the OECD

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Abstract

This article examines the effect of the degree of decentralization of social protection expenditure on economic growth, using panel data for twenty OECD countries over the period 1990-2005. Our results show a positive impact of the subnational share of total government expenditure in social protection on economic performance. This finding is robust to the inclusion of additional explanatory variables in the analysis and is not driven by any specific country.

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  • Roberto Ezcurra & Andrés Rodríguez-Pose, 2009. "Decentralization of social protection expenditure and economic growth in the OECD," Working Papers 2009-05, Instituto Madrileño de Estudios Avanzados (IMDEA) Ciencias Sociales, revised 03 Nov 2009.
    • Handle: RePEc:imd:wpaper:wp2009-05
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    Cited by:

    1. Hyunjung Ji & Jeong Ahn & Jeffrey Chapman, 2016. "The role of intergovernmental aid in defining fiscal sustainability at the sub-national level," Urban Studies, Urban Studies Journal Limited, vol. 53(14), pages 3063-3081, November.
    2. Arze del Granado, F. Javier & Martinez-Vazquez, Jorge & McNab, Robert M., 2012. "Decentralized Governance and Preferences for Public Goods," MPRA Paper 42459, University Library of Munich, Germany.
    3. Agasisti, Tommaso & Bertoletti, Alice, 2022. "Higher education and economic growth: A longitudinal study of European regions 2000–2017," Socio-Economic Planning Sciences, Elsevier, vol. 81(C).

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    Keywords

    decentralization; social protection expenditure; economic growth; OECD countries;
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