Revenue Decentralisation and Economic Growth in the Spanish Autonomous Communities
This paper is an empirical sequel to our previous theoretical analysis of the relationship between tax decentralisation and economic growth. Taking such theoretical work as a point of departure, we ask whether the process of fiscal decentralisation experienced by the Spanish economy since the early eighties supports our main findings. Following recent analytical considerations for fiscal decentralisation measurement, several revenue decentralisation indicators for the Spanish case are proposed. According with the results, we might conclude that revenue control decentralisation to lower levels of government in Spain has generated a positive effect on economic growth. JEL classification: C32; H77;O47
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