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Assessing the Effects of Fiscal Decentralization on the Education Sector: A Cross-Country Analysis

Listed author(s):
  • Iftikhar Ahmad

    ()

    (Assistant Professor, Pakistan Institute of Development Economics, Islamabad, Pakistan)

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    This paper examines the effects of fiscal decentralization on the education sector for a sample of 62 countries. The results suggest that different sources of fiscal decentralization have distinct effects on education expenditure and quality. While subnational governments that are financed through own-tax revenues are more likely to increase the funds allocated to education, they also seem less concerned with maintaining teaching quality. This study provides evidence that decentralized structures cater better to local social needs. Fiscal decentralization is, therefore, an important policy instrument for achieving social goals.

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    File URL: http://lahoreschoolofeconomics.edu.pk/EconomicsJournal/Journals/Volume%2021/Issue%202/03%20Ahmad.pdf
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    Article provided by Department of Economics, The Lahore School of Economics in its journal Lahore Journal of Economics.

    Volume (Year): 21 (2016)
    Issue (Month): 2 (July-Dec)
    Pages: 53-96

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    Handle: RePEc:lje:journl:v:21:y:2016:i:2:p:53-96
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