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Decentralization of Governance and Development

  • Pranab Bardhan

In this paper we note that the institutional context (and therefore the structure of incentives and organization) in developing and transition economies is quite different from those in advanced industrial economies, and this necessitates the literature on decentralization in the context of development to go beyond the traditional fiscal federalism literature. We review some of the existing theoretical work and empirical case studies of decentralization from the point of view of delivery of public services and of conditions for local business development, and point to ways of going forward in research.

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Article provided by American Economic Association in its journal Journal of Economic Perspectives.

Volume (Year): 16 (2002)
Issue (Month): 4 (Fall)
Pages: 185-205

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Handle: RePEc:aea:jecper:v:16:y:2002:i:4:p:185-205
Note: DOI: 10.1257/089533002320951037
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  20. Coady, David P., 2001. "An evaluation of the distributional power of PROGRESA's cash transfers in Mexico," FCND briefs 117, International Food Policy Research Institute (IFPRI).
  21. Bardhan, Pranab & Mookherjee, Dilip, 2005. "Decentralizing antipoverty program delivery in developing countries," Journal of Public Economics, Elsevier, vol. 89(4), pages 675-704, April.
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