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Devolution Dynamics of Spanish Local Government

Author

Listed:
  • Maria Teresa Balaguer-Coll
  • Diego Prior

    (Business Economics Department, Autonomous University of Barcelona)

  • Emili Tortosa-Ausina

    (University Jaume I)

Abstract

Over the last few years, there has been a devolutionary tendency in many developed and developing countries. In this article we propose a methodology to decomposewhether the benefits in term of efficiency derived from tranfers of powers from higher to municipal levels of government (the "economic dividend"of devolution) might increase over time. This methodology is based on linear programming approaches for efficiency measurement. We provide an application to Spanish municipalities, which have had to adapt to both the European Stability and Growth pact as well as to domestic regulation seeking local governments' balanced budget. Results indicate that efficiency gains from enhanced decentralization have increased over time. However, the way through which these gains accrue differs across municipalities in some cases technical change is teh main component, whereas in others catching up dominates.

Suggested Citation

  • Maria Teresa Balaguer-Coll & Diego Prior & Emili Tortosa-Ausina, 2010. "Devolution Dynamics of Spanish Local Government," Working Papers 1001, Departament Empresa, Universitat Autònoma de Barcelona, revised Jan 2010.
    • Handle: RePEc:bbe:wpaper:1001
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    Citations

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    Cited by:

    1. Ifigeneia-Dimitra Pougkakioti, 2021. "Measuring The Efficiency And Productivity Change Of Municipalities With An Output Oriented Model:Empirical Evidence Across Greek Municipalities Over The Time Period 2012-2016," Romanian Journal of Regional Science, Romanian Regional Science Association, vol. 15(1), pages 98-125, JUNE.
    2. Emili Tortosa Ausina & Diego Prior Jiménez & María Teresa Balaguer-Coll, 2010. "Output complexity, environmental conditions, and the efficiency of municipalities: a robust metafrontier approach," Working Papers. Serie EC 2010-02, Instituto Valenciano de Investigaciones Económicas, S.A. (Ivie).
    3. Quentin Frère & Lionel Védrine, 2024. "Does decentralisation theorem shape intermunicipal cooperation?," Post-Print hal-04739942, HAL.
    4. Andy Pike & Andrés Rodríguez-Pose & Gianpiero Torrisi & Vassilis Tselios & John Tomaney, 2010. "In search of the ‘economic dividend’ of devolution: spatial disparities, spatial economic policy and decentralisation in the UK," DEMQ Working Paper Series 2010/9, University of Catania, Department of Economics and Quantitative Methods.
    5. Asier Minondo & Francisco Requena Silvente, 2010. "Welfare gains from imported varieties in Spain, 1988-2006," Working Papers. Serie EC 2010-12, Instituto Valenciano de Investigaciones Económicas, S.A. (Ivie).
    6. Daniel Aparicio-Pérez & Maria Teresa Balaguer-Coll & Emili Tortosa-Ausina, 2023. "On the relative contributions of national and regional institutions to economic development," Working Papers 2023/01, Economics Department, Universitat Jaume I, Castellón (Spain).
    7. Ginés Hernández Cánovas & María Camino Ramón Llorens, 2010. "Venture capitalists in Spain: cluster analysis of criteria used in the screening process," Working Papers. Serie EC 2010-08, Instituto Valenciano de Investigaciones Económicas, S.A. (Ivie).
    8. Francisco Mas Ruiz & Juan Luis Nicolau Gonzálbez, 2010. "Contribution of individual to collective brands," Working Papers. Serie EC 2010-07, Instituto Valenciano de Investigaciones Económicas, S.A. (Ivie).
    9. Ángel Pardo Tornero & María Dolores Furió Ortega, 2010. "Politics and elections at the Spanish stock exchange," Working Papers. Serie EC 2010-11, Instituto Valenciano de Investigaciones Económicas, S.A. (Ivie).
    10. Elena Pardo & Inés Küster Boluda & Torpong Suemanotham, 2010. "Product placement in video games as a marketing strategy: an attempt to analysis in Disney company," Working Papers. Serie EC 2010-04, Instituto Valenciano de Investigaciones Económicas, S.A. (Ivie).
    11. Pérez López, Gemma & Plata Díaz, Ana María & Zafra Gómez, José L. & López Hernández, Antonio M., 2013. "Deuda viva municipal en un contexto de crisis económica: análisis de los factores determinantes y de las formas de gestión," Revista de Contabilidad - Spanish Accounting Review, Elsevier, vol. 16(2), pages 83-93.
    12. M. Teresa Sanchis Llopis & Vicente Esteve Garcia & Antonio Cubel, 2010. "International technology diffusion through patents during the second half of the XXth century," Working Papers. Serie EC 2010-10, Instituto Valenciano de Investigaciones Económicas, S.A. (Ivie).
    13. Ana María Sabater & Araceli Mora & Beatriz García Osma, 2010. "Strategic accounting choice around firm level labour negotiations," Working Papers. Serie EC 2010-09, Instituto Valenciano de Investigaciones Económicas, S.A. (Ivie).
    14. Inés Küster Boluda & Natalia Vila López & Vicente Castillo, 2010. "Efectos de los videojuegos en las marcas emplazadas: la transmisión de imagen a través de las emociones," Working Papers. Serie EC 2010-05, Instituto Valenciano de Investigaciones Económicas, S.A. (Ivie).
    15. Sugiyarto, Ardi & Lee, Boon L. & Wilson, Clevo, 2025. "Narrowing the gap: Dynamics of Indonesia's public expenditure performance in economically lagging districts," Economic Analysis and Policy, Elsevier, vol. 85(C), pages 2299-2318.
    16. Thieme, Claudio & Prior, Diego & Tortosa-Ausina, Emili, 2013. "A multilevel decomposition of school performance using robust nonparametric frontier techniques," Economics of Education Review, Elsevier, vol. 32(C), pages 104-121.
    17. Rolf Färe & Shawna Grosskopf & Joaquín Maudos & Emili Tortosa-ausina, 2015. "Revisiting the quiet life hypothesis in banking using nonparametric techniques," Journal of Business Economics and Management, Taylor & Francis Journals, vol. 16(1), pages 159-187, February.
    18. José Luis Zafra-Gómez & Victor Giménez-García & Cristina María Campos-Alba & Emilio José Higuera-Molina, 2020. "Direct Management or Inter-Municipal Cooperation in Smaller Municipalities? Exploring Cost Efficiency and Installed Capacity in Drinking Water Supply," Water Resources Management: An International Journal, Published for the European Water Resources Association (EWRA), Springer;European Water Resources Association (EWRA), vol. 34(13), pages 4289-4302, October.
    19. Maria Teresa Balaguer-Coll & Diego Prior & Emili Tortosa-Ausina, 2013. "On the determinants of local government debt: Does one size fit all?," Working Papers 2013/16, Economics Department, Universitat Jaume I, Castellón (Spain).
    20. Ramiro Gil-Serrate & Julio López-Laborda & Jesús Mur, 2011. "Revenue Autonomy and Regional Growth: An Analysis of the 25-Year Process of Fiscal Decentralisation in Spain," Environment and Planning A, , vol. 43(11), pages 2626-2648, November.
    21. Amílcar Marcelo Varela Enríquez & Gustavo Adrián Salazar Espinoza, "undated". "Tax Decentralization And Economic Growth In Latin America: Evidence Of Panel Data: 2000-2018," Review of Socio - Economic Perspectives 202062, Reviewsep.
    22. Maria Teresa Balaguer-Coll & Diego Prior & Emili Tortosa-Ausina, 2010. "Devolution Dynamics of Spanish Local Government," Environment and Planning A, , vol. 42(6), pages 1476-1495, June.
    23. Nikolaos Georgantzis & Aitor Ciarreta & Carlos Gutiérrez-Hita, 2010. "Renewable sources, technology mix, and competiton in liberalized electricity markets: the case of Spain," Working Papers. Serie EC 2010-06, Instituto Valenciano de Investigaciones Económicas, S.A. (Ivie).
    24. Isabel Narbón-Perpiñá & Maria Teresa Balaguer-Coll & Diego Prior & Emili Tortosa-Ausina, 2021. "Searching for the optimal territorial structure: the case of Spanish provincial councils," Regional Studies, Taylor & Francis Journals, vol. 55(4), pages 645-664, April.
    25. Meryem Duygun & Silvia Pazzi & Emili Tortosa-Ausina & Simona Zambelli, 2014. "Does local public ownership matter for the efficiency of water utilities? Evidence from Italy," Working Papers 2014/21, Economics Department, Universitat Jaume I, Castellón (Spain).

    More about this item

    Keywords

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    JEL classification:

    • D24 - Microeconomics - - Production and Organizations - - - Production; Cost; Capital; Capital, Total Factor, and Multifactor Productivity; Capacity
    • D60 - Microeconomics - - Welfare Economics - - - General
    • H71 - Public Economics - - State and Local Government; Intergovernmental Relations - - - State and Local Taxation, Subsidies, and Revenue
    • H72 - Public Economics - - State and Local Government; Intergovernmental Relations - - - State and Local Budget and Expenditures

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