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Fiscal decentralization and the performance of higher education institutions: the case of Europe

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  • Julien Jacqmin

    (NEOMA Business School)

  • Mathieu Lefebvre

    (BETA, University of Strasbourg
    CREPP, University of Liège)

Abstract

This paper empirically evaluates the impact of fiscal decentralization on the performance of higher education systems. To test this relationship, we build up a panel dataset composed of European countries. Country-level performance is measured by an indicator using data from the Shanghai ranking. Using a dynamic panel approach, we find that a higher share of government spending coming from decentralized levels of governments leads to an improvement of the performance of research-intensive higher education institutions. We argue that a more decentralized higher education system increases the ability to attract and retain top scholars.

Suggested Citation

  • Julien Jacqmin & Mathieu Lefebvre, 2021. "Fiscal decentralization and the performance of higher education institutions: the case of Europe," Empirica, Springer;Austrian Institute for Economic Research;Austrian Economic Association, vol. 48(3), pages 743-758, August.
    • Handle: RePEc:kap:empiri:v:48:y:2021:i:3:d:10.1007_s10663-020-09489-z
    DOI: 10.1007/s10663-020-09489-z
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    Cited by:

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    2. Yarong Liu & Xiang Yao & Yujie Xue, 2023. "A case study of decentralization reform in a Chinese university," Asia Europe Journal, Springer, vol. 21(2), pages 273-290, June.

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    More about this item

    Keywords

    Fiscal decentralization; Ranking; Research; Higher education institutions;
    All these keywords.

    JEL classification:

    • I23 - Health, Education, and Welfare - - Education - - - Higher Education; Research Institutions
    • I28 - Health, Education, and Welfare - - Education - - - Government Policy
    • H52 - Public Economics - - National Government Expenditures and Related Policies - - - Government Expenditures and Education
    • H75 - Public Economics - - State and Local Government; Intergovernmental Relations - - - State and Local Government: Health, Education, and Welfare

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