Do Fiscal and Political Decentralization Raise Students' Performance? A Cross-Country Analysis
AbstractThe low quality of education is a persistent problem in many developed countries. Parallel to in the last decades exists a tendency towards decentralization in many developed and developing countries. Using micro data from the Programme for International Student Assessment (PISA) referred to 22 countries, we test whether there exists an impact of fiscal and political decentralization on student performance in the areas of mathematics, reading skills and science. We observe that fiscal decentralization exerts an unequivocal positive effect on students' outcomes in all areas, while the effect of political decentralization is more ambiguous. On the one hand, the capacity of the subnational governments to rule on its region has a positive effect on students' performance in mathematics. On the other hand, the capacity to influence the country as a whole has a negative impact on mathematics achievement. As a general result, we observe that students' performance in Mathematics is more sensible to these exogenous variations than in Sciences and reading skills.
Download InfoIf 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.
Bibliographic InfoPaper provided by Institute for the Study of Labor (IZA) in its series IZA Discussion Papers with number 6722.
Length: 39 pages
Date of creation: Jul 2012
Date of revision:
Contact details of provider:
Postal: IZA, P.O. Box 7240, D-53072 Bonn, Germany
Phone: +49 228 3894 223
Fax: +49 228 3894 180
Web page: http://www.iza.org
Postal: IZA, Margard Ody, P.O. Box 7240, D-53072 Bonn, Germany
Find related papers by JEL classification:
- H11 - Public Economics - - Structure and Scope of Government - - - Structure and Scope of Government
- H77 - Public Economics - - State and Local Government; Intergovernmental Relations - - - Intergovernmental Relations; Federalism
- I21 - Health, Education, and Welfare - - Education - - - Analysis of Education
This paper has been announced in the following NEP Reports:
- NEP-ALL-2012-07-29 (All new papers)
- NEP-EDU-2012-07-29 (Education)
- NEP-LAB-2012-07-29 (Labour Economics)
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.:
- Petra E. Todd & Kenneth I. Wolpin, 2003. "On The Specification and Estimation of The Production Function for Cognitive Achievement," Economic Journal, Royal Economic Society, vol. 113(485), pages F3-F33, February.
- Ouarda Merrouche, 2007.
"The Long Term Effect of Education Spending Decentralization on Human Capital in Spain,"
200708, Geary Institute, University College Dublin.
- Merrouche, Ouarda, 2007. "The Long Term Effect of Education Spending Decentralization on Human Capital in Spain," Working Paper Series 2007:3, Uppsala University, Department of Economics.
- Wallace E. Oates, 1999. "An Essay on Fiscal Federalism," Journal of Economic Literature, American Economic Association, vol. 37(3), pages 1120-1149, September.
- Thomas Fuchs & Ludger Woessmann, 2004.
"Computers and Student Learning: Bivariate and Multivariate Evidence on the Availability and Use of Computers at Home and at School,"
CESifo Working Paper Series
1321, CESifo Group Munich.
- Thomas Fuchs & Ludger Wossmann, 2004. "Computers and student learning: bivariate and multivariate evidence on the availability and use of computers at home and at school," Brussels Economic Review, ULB -- Universite Libre de Bruxelles, vol. 47(3-4), pages 359-386.
- Thomas Fuchs & Ludger Wößmann, 2005. "Computers and Student Learning:Bivariate and Multivariate Evidence on the Availability and Use of Computers at Home and at School," Ifo Working Paper Series Ifo Working Paper No. 8, Ifo Institute for Economic Research at the University of Munich.
- Schakel, Arjan H., 2008. "Validation of the Regional Authority Index," MPRA Paper 8972, University Library of Munich, Germany.
- Fuchs, Thomas & Woessmann, Ludger, 2004.
"What Accounts for International Differences in Student Performance? A Re-Examination Using PISA Data,"
IZA Discussion Papers
1287, Institute for the Study of Labor (IZA).
- Thomas Fuchs & Ludger Wößmann, 2007. "What accounts for international differences in student performance? A re-examination using PISA data," Empirical Economics, Springer, vol. 32(2), pages 433-464, May.
- Thomas Fuchs & Ludger Woessmann, 2004. "What Accounts for International Differences in Student Performance? A Re-examination using PISA Data," Econometric Society 2004 Australasian Meetings 274, Econometric Society.
- Winkler, Donald R., 1989. "Decentralization in education : an economic perspective," Policy Research Working Paper Series 143, The World Bank.
- Josep Lluís Carrion-i-Silvestre & Marta Espasa & Toni Mora, 2008. "Fiscal Decentralization and Economic Growth in Spain," Public Finance Review, , vol. 36(2), pages 194-218, March.
- Benedict J. Clements, 1999. "The Efficiency of Education Expenditure in Portugal," IMF Working Papers 99/179, International Monetary Fund.
- Lessmann, Christian, 2009.
"Fiscal decentralization and regional disparity: Evidence from cross-section and panel data,"
Dresden Discussion Paper Series in Economics
08/09, Dresden University of Technology, Faculty of Business and Economics, Department of Economics.
- Christian Lessmann, 2009. "Fiscal decentralization and regional disparity: evidence from cross-section and panel data," Environment and Planning A, Pion Ltd, London, vol. 41(10), pages 2455-2473, October.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Mark Fallak).
If references are entirely missing, you can add them using this form.