Baskaran, Tushyanthan; Feld, Lars P.; Schnellenbach, Jan - 2016 - This version: December 22, 2015
decentralization could affect economic growth. Much of the literature focuses on the efficiency aspects of a decentralized provision of … public services, but decentralization may also increase growth by raising the ability of the political system to innovate and … carry out reforms. In contrast, some authors argue that decentralization increases corruption and government inefficiency …