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The Challenge of Fiscal Decentralisation in Transition Countries


  • Era Dabla-Norris

    () (IS 3-1600, International Monetary Fund, Washington, DC 20431, USA.)


This paper examines key aspects of the ongoing decentralisation process in transition economies and identifies areas where the present systems can have potentially adverse impacts on both service delivery and macroeconomic performance. We discuss three critical principles of a sound and efficient decentralised fiscal system – which are then contrasted with actual trends and policies in these countries. Comparative Economic Studies (2006) 48, 100–131. doi:10.1057/palgrave.ces.8100063

Suggested Citation

  • Era Dabla-Norris, 2006. "The Challenge of Fiscal Decentralisation in Transition Countries," Comparative Economic Studies, Palgrave Macmillan;Association for Comparative Economic Studies, vol. 48(1), pages 100-131, March.
  • Handle: RePEc:pal:compes:v:48:y:2006:i:1:p:100-131

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    References listed on IDEAS

    1. Jan C. van Ours & Milan Vodopivec, 2006. "How Shortening the Potential Duration of Unemployment Benefits Affects the Duration of Unemployment: Evidence from a Natural Experiment," Journal of Labor Economics, University of Chicago Press, vol. 24(2), pages 351-378, April.
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    1. repec:rom:mrpase:v:9:y:2017:i:2:p:47-66 is not listed on IDEAS
    2. Andrés Rodríguez-Pose & Roberto Ezcurra, 2010. "Does decentralization matter for regional disparities? A cross-country analysis," Journal of Economic Geography, Oxford University Press, vol. 10(5), pages 619-644, September.
    3. Andrés Rodríguez-Pose & Anne Krøijer, 2009. "Fiscal Decentralization and Economic Growth in Central and Eastern Europe," Growth and Change, Wiley Blackwell, vol. 40(3), pages 387-417.
    4. Dr M Moses Antony Rajendran, 2012. "Fiscal And Power Decentralization In Planning Impacts On Educational Development In Universities," Far East Journal of Marketing and Management, Far East Research Centre, vol. 2(2), pages 14-24, December.
    5. Davide Furceri & Agnese Sacchi & Simone Salotti, 2016. "Can Fiscal Decentralization Alleviate Government Consumption Volatility?," Open Economies Review, Springer, vol. 27(4), pages 611-636, September.
    6. Roberto Guerrero Compeán, 2008. "Decentralization: Panacea or Pandora’s Box? Fiscal Perversity in Mexico," Ensayos Revista de Economia, Universidad Autonoma de Nuevo Leon, Facultad de Economia, vol. 0(2), pages 89-110, November.
    7. Aktoty Aitzhanova & Shigeo Katsu & Johannes F. Linn & Vladislav Yezhov (ed.), 2014. "Kazakhstan 2050: Toward a Modern Society for All," Books, Emerging Markets Forum, edition 1, number kazakh2050, August.
    8. Oding, Nina & Savulkin, Lev & Yushkov, Andrey, 2016. "Fiscal Federalism in Russia through the Lens of Government Programs Implementation," Economic Policy, Russian Presidential Academy of National Economy and Public Administration, vol. 4, pages 93-114, August.
    9. Octavian Moldovan, 2016. "Local Revenue Mobilization in Romania," European Financial and Accounting Journal, University of Economics, Prague, vol. 2016(3), pages 107-124.
    10. Vassilis Tselios & Andrés Rodríguez-Pose & Andy Pike & John Tomaney & Gianpiero Torrisi, 2012. "Income inequality, decentralisation, and regional development in Western Europe," Environment and Planning A, Pion Ltd, London, vol. 44(6), pages 1278-1301, June.
    11. Petr Janský & Miroslav Palanský, 2016. "Fiscal decentralization and the shadow economy," WIDER Working Paper Series 172, World Institute for Development Economic Research (UNU-WIDER).
    12. Makreshanska, Suzana & Petrevski, Goran, 2016. "Decentralization, fiscal transfers and income inequality in Central and Eastern European countries," MPRA Paper 82181, University Library of Munich, Germany, revised 16 Oct 2017.
    13. Alexeev, Michael & Mamedov, Arseny & Fomina, Evgenia & Deryugin, Alexander, 2017. "Influence of the Main Characteristics of Interbudgetary Relations on the Indicators of Economic Development of the Subjects of the Russian Federation," Working Papers 031717, Russian Presidential Academy of National Economy and Public Administration.

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