The prevailing belief is that local governments, which are closer to their citizens, can deliver public goods much more efficiently than a central government can. Yet skeptics argue that fiscal decentralization can be dangerous. The underlying motivation of this article is to review the basic...

To contribute to the debate about decentralization of education management, in this paper, we take advantage of the arbitrary rule used in Colombia to define the municipalities that can autonomously manage schools, to evaluate through a Regression Discontinuity methodology the effect of...

To contribute to the debate about decentralization of education management, in this paper, we take advantage of the arbitrary rule used in Colombia to define the municipalities that can autonomously manage schools, to evaluate through a Regression Discontinuity methodology the effect of...

Public schools in Chile receive a per-student subsidy depending on enrollment, and are managed by local governments that operate under soft budget constraints. In this paper, we study the effects of this system on per-student expenditures. Per-student expenditures on rural areas are 30% higher...