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Evaluación de la descentralización desde la perspectiva de la Teoría del Federalismo Fiscal

Author

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  • Albert Solé-Ollé

    (Universitat de Barcelona)

Abstract

This paper assesses the main arguments of the theory of fiscal federalism (TFF): the impact of decentralization on the efficient delivery of public programs and services. It revises the work included in the so-called 1st generation of work of the TFF, which is essentially theoretical, and those of the 2nd generation of the TFF, based on the positive empirical analysis of the government behavior. The proposals analyzed by both perspectives have resulted in different conclusions: if the decentralization can improve the adaptation of public programs to local tastes (preferences), or if it improves the political process of account rendering; if it fosters the innovation in the design of public policies, if it can create problems of coordination in the public policy; if it improves the incentives of the government to collect and promote economic growth; and, finally, if it can affect the budgetary stability, being that it relaxes the budgetary restrictions of the subcentral government.

Suggested Citation

  • Albert Solé-Ollé, 2008. "Evaluación de la descentralización desde la perspectiva de la Teoría del Federalismo Fiscal," EKONOMIAZ. Revista vasca de Economía, Gobierno Vasco / Eusko Jaurlaritza / Basque Government, vol. 69(03), pages 178-205.
  • Handle: RePEc:ekz:ekonoz:2008311
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    More about this item

    Keywords

    descentralization; fiscal federalism; subcentral governments.;

    JEL classification:

    • H73 - Public Economics - - State and Local Government; Intergovernmental Relations - - - Interjurisdictional Differentials and Their Effects
    • H74 - Public Economics - - State and Local Government; Intergovernmental Relations - - - State and Local Borrowing
    • H77 - Public Economics - - State and Local Government; Intergovernmental Relations - - - Intergovernmental Relations; Federalism

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