Decentralization as a disincentive for transnational terror? An empirical test
Using panel data for a maximum of 109 countries over the years 1976-2000, we empirically analyze the impact of decentralization on the occurrence of transnational terror. Taking account of the potential simultaneity between terror and decentralization, our results show that expenditure decentralization robustly reduces the number of terror events in a country, while political decentralization has no impact.
D74 - Conflict; Conflict Resolution; Alliances ; H70 - State and Local Government; Intergovernmental Relations. General ; H40 - Publicly Provided Goods. General