Advanced Search
MyIDEAS: Login to save this paper or follow this series

The Dilemma of Decentralization in Colombia

Contents:

Author Info

  • Olga Lucia Acosta

    (Fedesarrollo and Universidad de Rosario)

  • Richard M. Bird

    ()
    (International Tax Program, Rotman School of Management, University of Toronto)

Abstract

This paper sketches the general course of Colombian decentralization over the last two decades. One section of the paper focuses on the intermediate level of subnational government, the departments. We argue that the present situation is inherently untenable. Either departments must be cut back to tasks they can handle, or they must be strengthened to be able to handle the tasks they have. We explore the extent to which the present problems can be resolved by such incremental changes as better use of existing department revenue sources, more systematic “categorization” of departments with respect to expenditure responsibilities, and a revised transfer system. The paper also considers the even more diverse and complex problems at the municipal level. The final section suggests that it is not so much the level as the structure of transfers -- whatever their level -- that lies at the heart of the dilemma of decentralization in Columbia. Reform or transfer design, like bestowing more fiscal autonomy (but not more taxing power) on those who can tax themselves, is central to creating the incentive structure needed to resolve this dilemma. The key question, however, is whether the coalition of political interests that gave rise to the present system cannot only be brought to see the need for such changes but also to support them for a sufficiently long period to produce results.

Download Info

If 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.
File URL: http://www-2.rotman.utoronto.ca/iib/ITP0404.pdf
Download Restriction: no

Bibliographic Info

Paper provided by International Tax Program, Institute for International Business, Joseph L. Rotman School of Management, University of Toronto in its series International Tax Program Papers with number 0404.

as in new window
Length: 47 Pages
Date of creation: Dec 2003
Date of revision:
Handle: RePEc:ttp:itpwps:0404

Contact details of provider:
Postal: 105 St. George St., Toronto, Ontario, M5S 3E6
Phone: 416 978 2451
Email:
Web page: http://www-2.rotman.utoronto.ca/iib
More information through EDIRC

Related research

Keywords: Colombia; decentralization; subnational government; Bogota; Medellin; Cali; transfers;

Find related papers by JEL classification:

References

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.:
as in new window
  1. Richard M. Bird & Sally Wallace, 2003. "Taxing Alcohol in Africa: Reflections from International Experience," International Tax Program Papers, International Tax Program, Institute for International Business, Joseph L. Rotman School of Management, University of Toronto 0304, International Tax Program, Institute for International Business, Joseph L. Rotman School of Management, University of Toronto, revised Nov 2003.
Full references (including those not matched with items on IDEAS)

Citations

Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
as in new window

Cited by:
  1. Richard M Bird & Joosung Jun, 2005. "Earmarking in Theory and Korean Practice," International Tax Program Papers, International Tax Program, Institute for International Business, Joseph L. Rotman School of Management, University of Toronto 0513, International Tax Program, Institute for International Business, Joseph L. Rotman School of Management, University of Toronto.
  2. Richard M. Bird, 2008. "Tax Assignment Revisited," International Center for Public Policy Working Paper Series, at AYSPS, GSU, International Center for Public Policy, Andrew Young School of Policy Studies, Georgia State University paper0805, International Center for Public Policy, Andrew Young School of Policy Studies, Georgia State University.
  3. Jaime Bonet Morón, 2007. "Regalías y finanzas públicas en el Departamento del Cesar," DOCUMENTOS DE TRABAJO SOBRE ECONOMÍA REGIONAL, BANCO DE LA REPÚBLICA - ECONOMÍA REGIONAL 004308, BANCO DE LA REPÚBLICA - ECONOMÍA REGIONAL.
  4. Roy Bahl & Musharraf Cyan, 2009. "Local Government Taxation in Pakistan," International Center for Public Policy Working Paper Series, at AYSPS, GSU, International Center for Public Policy, Andrew Young School of Policy Studies, Georgia State University paper0909, International Center for Public Policy, Andrew Young School of Policy Studies, Georgia State University.
  5. World Bank & European Commission & Food and Agriculture Organization & United Nations Children’s Fund & United Nations Development Program & World Health Organization, 2007. "Angola : Public Expenditure Review, Volume 2. Sectoral Review," World Bank Other Operational Studies 7648, The World Bank.
  6. Ignacio Lozano & Jorge Ramos & Hernán Rincón, 2007. "Implicaciones Fiscales y Sectoriales de la Reforma a las transferencias Territoriales en Colombia," BORRADORES DE ECONOMIA 002816, BANCO DE LA REPÚBLICA.
  7. Hernán Rincón & Jorge Ramos & Ignacio Lozano, 2004. "Crisis Fiscal Actual: Diagnóstico Y Recomendaciones," BORRADORES DE ECONOMIA 002244, BANCO DE LA REPÚBLICA.
  8. Jaime Alfredo Bonet & Fabio Rueda, 2012. "Esfuerzo fiscal en los estados mexicanos," IDB Publications 64598, Inter-American Development Bank.
  9. Giorgio Brosio & Ehtisham Ahmad, 2008. "Political Economy of Multi-Level Tax Assignments in Latin American Countries," IMF Working Papers 08/71, International Monetary Fund.
  10. Jaime Bonet, 2006. "Desequilibrios regionales en la política de descentralización en Colombia," DOCUMENTOS DE TRABAJO SOBRE ECONOMÍA REGIONAL, BANCO DE LA REPÚBLICA - ECONOMÍA REGIONAL 002293, BANCO DE LA REPÚBLICA - ECONOMÍA REGIONAL.

Lists

This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

Statistics

Access and download statistics

Corrections

When requesting a correction, please mention this item's handle: RePEc:ttp:itpwps:0404. See general information about how to correct material in RePEc.

For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Richard Bird).

If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

If references are entirely missing, you can add them using this form.

If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

Please note that corrections may take a couple of weeks to filter through the various RePEc services.