On the Measurement and Impact of Fiscal Decentralization

The typical post-Bretton Woods era development approach that emphasized central government-led development efforts has changed dramatically, and local governments have clearly emerged as players in development policy. The thinking about what is important to achieve in development objectives is changing as fiscal decentralization reforms are being pursued by many countries around the world. In this context, a number of studies have attempted to quantify the impact of decentralization by relating some measure of it to economic outcomes of fiscal stability, economic growth, and public sector size. But decentralization is surprisingly difficult to measure. Nearly all cases examining the relationship between decentralization and macroeconomic performance have relied on the Government Finance Statistics (GFS) of the International Monetary Fund. However, despite its merits, GFS falls short in providing a full picture of fiscal decentralization. For some countries, however, there is data that more accurately captures fiscal responsibilities among different types of governments.

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Bibliographic Details
Main Authors: Ebel, Robert D., Yilmaz, Serdar
Language:English
en_US
Published: World Bank, Washington, D.C. 2002-03
Subjects:DECENTRALIZATION IN GOVERNMENT; MACROECONOMIC STABILITY; GOVERNMENT FINANCE; INTERGOVERNMENTAL FISCAL RELATIONS; INTERGOVERNMENTAL TAX RELATIONS; INTERGOVERNMENTAL TRANSFERS; PUBLIC FINANCE; CROSS COUNTRY ANALYSIS; TAX REVENUES; SUBNATIONAL FINANCES; GOVERNMENT SPENDING POLICY; ECONOMIC GROWTH; PUBLIC SECTOR MANAGEMENT; FISCAL MANAGEMENT; REVENUE SHARING ACCOUNTABILITY, AUTHORITY, BORROWING, CENTRAL GOVERNMENT, CENTRAL GOVERNMENT CONTROL, CITIZENS, CIVIL LIBERTIES, CONSTITUTION, CORRUPTION, DEBT, DECENTRALIZATION PROCESS, DECENTRALIZATION REFORMS, DECONCENTRATION, DEFICITS, DEMOCRACY, DEMOCRATIC GOVERNANCE, DEVOLUTION, ECONOMIC GROWTH, ECONOMIC STABILITY, EXPENDITURE, EXPENDITURE MANAGEMENT, FEDERALISM, FINANCIAL AUTONOMY, FINANCIAL CRISES, FINANCIAL MANAGEMENT, FISCAL, FISCAL DECENTRALIZATION, FISCAL DEFICIT, FISCAL FEDERALISM, FISCAL REFORMS, FISCAL SUSTAINABILITY, FISCAL_DECENTRALIZATION, FORMULA GRANTS, GOOD GOVERNANCE, GOVERNMENT FINANCE, GOVERNMENT SPENDING, GROSS DOMESTIC PRODUCT, HOUSING, INSTITUTIONAL FRAMEWORK, INTERGOVERNMENTAL FINANCE, INTERGOVERNMENTAL FISCAL RELATIONS, INTERGOVERNMENTAL TRANSFERS, KINGDOMS, LEGISLATION, LEVELS OF GOVERNMENT, LEVIES, LOCAL GOVERNMENT, LOCAL GOVERNMENTS, LOCAL TAX, MACROECONOMIC PERFORMANCE, MACROECONOMIC STABILITY, MILITARY REGIMES, MUNICIPAL MANAGEMENT, POLICY CONTROL, POLITICAL DECENTRALIZATION, PRIVATE SECTOR, PUBLIC ECONOMICS, PUBLIC EXPENDITURES, PUBLIC FINANCE, PUBLIC FINANCES, PUBLIC INSTITUTIONS, PUBLIC SECTOR, PUBLIC SERVICES, REVENUE SHARING, SAFETY NETS, SIZE OF GOVERNMENT, SUBNATIONAL GOVERNMENT, SUBNATIONAL GOVERNMENT TAXES, SUBNATIONAL GOVERNMENTS, TAX CAPACITY, TAX RATE, TAX REVENUE, TAX SHARING, TAXATION, TECHNOCRATS, TRANSITION ECONOMIES, URBAN ECONOMICS, URBAN PUBLIC FINANCE, USER CHARGES,
Online Access:http://documents.worldbank.org/curated/en/2002/03/1744000/measurement-impact-fiscal-decentralization
https://hdl.handle.net/10986/14821
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