IDEAS home Printed from https://ideas.repec.org/
MyIDEAS: Log in (now much improved!) to save this paper

The Common Municipal Fund: What is the role in the convergence of local incomes?

Author Info

Listed author(s):
  • Yasna Cortés Garriga

    ()

    (IDEAR - Master in Regional Sciences - Department of Economics, Universidad Católica del Norte - Chile)

  • Dusan Paredes Araya

    ()

    (IDEAR - Master in Regional Sciences - Department of Economics, Universidad Católica del Norte - Chile)

Abstract

This paper analyzes the role of FCM in the convergence process of the income governments with a panel data of 345 municipalities for the period between 2001 and 2011. Using quasi-experiments and dynamic equations demonstrated that the FCM doesn’t have a significant effect in the increase of the convergence speed, evidencing the ineffective of this territorial policy in the reduction of disparities in long term. The weak develop of the decentralization and the low incentives of the municipalities to obtain own resources, promotes the emergence of strategic behaviors that distort the redistributive effect of the FCM in municipalities, decreasing its impact in the reduction of territorial disparities in Chile.

Download Info

If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.

File URL: https://sites.google.com/a/ucn.cl/wpeconomia/archivos/WP2013-14.pdf
File Function: First version, 2013
Download Restriction: no

Paper provided by Universidad Catolica del Norte, Chile, Department of Economics in its series Documentos de Trabajo en Economia y Ciencia Regional with number 45.

as
in new window

Length: 35 pages
Date of creation: Apr 2013
Date of revision: Apr 2013
Handle: RePEc:cat:dtecon:dt201314
Contact details of provider: Postal:
Av. Angamos 0610, Antofagasta

Phone: (55) 355-768
Fax: (55) 355-878
Web page: http://www.idearucn.com
Email:


More information through EDIRC

Keywords: Descentralización; convergencia; disparidades regionales; panel de datos.;

Find related papers by JEL classification:

  • H11 - Public Economics - - Structure and Scope of Government - - - Structure and Scope of Government
  • H71 - Public Economics - - State and Local Government; Intergovernmental Relations - - - State and Local Taxation, Subsidies, and Revenue
  • R11 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Regional Economic Activity: Growth, Development, Environmental Issues, and Changes

This paper has been announced in the following NEP Reports:

References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:

as
in new window


  1. Cristian F Sepulveda & Jorge Martinez-Vazquez, 2011. "The Consequences of Fiscal Decentralization on Poverty and Income Equality," Environment and Planning C, , vol. 29(2), pages 321-343, April.
  2. Stephen Bond & Anke Hoeffler & Jonathan Temple, 2001. "GMM Estimation of Empirical Growth Models," Economics Papers 2001-W21, Economics Group, Nuffield College, University of Oxford.
  3. Manuel Arellano & Stephen Bond, 1991. "Some Tests of Specification for Panel Data: Monte Carlo Evidence and an Application to Employment Equations," Review of Economic Studies, Oxford University Press, vol. 58(2), pages 277-297.
  4. 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.
  5. 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.
  6. Caselli, Francesco & Esquivel, Gerardo & Lefort, Fernando, 1996. "Reopening the Convergence Debate: A New Look at Cross-Country Growth Empirics," Journal of Economic Growth, Springer, vol. 1(3), pages 363-389, September.
  7. Blundell, Richard & Bond, Stephen, 1998. "Initial conditions and moment restrictions in dynamic panel data models," Journal of Econometrics, Elsevier, vol. 87(1), pages 115-143, August.
  8. Ernesto Crivelli, 2012. "Local governments’ fiscal balance and privatization in transition countries," The Economics of Transition, The European Bank for Reconstruction and Development, vol. 20(4), pages 677-703, October.
  9. Damiaan Persyn & Koen Algoed, 2009. "Interregional redistribution, growth and convergence," Working Papers VIVES Research Centre for Regional Economics 4, KU Leuven, Faculty of Economics and Business, VIVES Research Centre for Regional Economics.
  10. Sergio J. Rey & Mark V. Janikas, 2005. "Regional convergence, inequality, and space," Journal of Economic Geography, Oxford University Press, vol. 5(2), pages 155-176, April.
  11. Pranab Bardhan, 2002. "Decentralization of Governance and Development," Journal of Economic Perspectives, American Economic Association, vol. 16(4), pages 185-205, Fall.
  12. Stephen Bond & Anke Hoeffler, 2001. "GMM Estimation of Empirical Growth Models," Economics Series Working Papers 2001-W21, University of Oxford, Department of Economics.
Full references (including those not matched with items on IDEAS)

The CitEc project has not yet found citations to this item.

This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

Access and download statistics

When requesting a correction, please mention this item's handle: RePEc:cat:dtecon:dt201314. See general information about how to correct material in RePEc.

For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Benjamin Jara)

If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

If references are entirely missing, you can add them using this form.

If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

Please note that corrections may take a couple of weeks to filter through the various RePEc services.

This information is provided to you by IDEAS at the Research Division of the Federal Reserve Bank of St. Louis using RePEc data.