Search Results - subject:"FISCAL DECENTRALIZATION"

Government Decentralization as a Disincentive for Transnational Terror? An Empirical Analysis

Dreher, Axel; Fischer, Justina A. V. - 2021

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. Our results show that expenditure decentralization reduces the number of transnational terror events in a country, while...

Persistent link: https://www.econbiz.de/10013316345

The Economic Effects of Federalism and Decentralization - A Cross-Country Assessment

Voigt, Stefan; Blume, Lorenz - 2021

This paper is based on the conjecture that institutional details matter and that attempts to estimate the economic effects of federalism by drawing on a simple dummy variable neglect potentially important institutional details. Based on a principal component analysis, seven aspects of both...

Persistent link: https://www.econbiz.de/10013316441

Demographic Change and Public Sector Budgets in a Federal System

Hofmann, Michael; Kempkes, Gerhard; Seitz, Helmut - 2021

This paper examines the effects of demographic change on public finances in a federal system. We develop a simple methodical procedure to measure the effect of demographic changes on public revenues and expenditures. We apply our method to the local, state and federal government sector as well...

Persistent link: https://www.econbiz.de/10013316520

Partial Fiscal Decentralization

Brueckner, Jan K. - 2021

The fiscal decentralization impulse now sweeping the world often leads to partial decentralization, where subnational …

Persistent link: https://www.econbiz.de/10013316771

Revisiting the 'Decentralization Theorem' - On the Role of Externalities

Köthenbürger, Marko - 2021

The Decentralization Theorem (Oates, 1972) is central to the discussion of fiscal federalism. We revisit the role of consumption spillovers in evaluating the merits of (de)centralization. Unlike the general prediction, a higher degree of spillovers may reduce the difference in utility of...

Persistent link: https://www.econbiz.de/10013316807

Federal Tax-Transfer Policy and Intergovernmental Pre-Commitment

Köthenbürger, Marko - 2021

Federal and state governments often differ in the capacity to pre-commit to expenditure and tax policy. Whether the implied sequence of public decisions has any efficiency implications is the subject of this paper. We resort to a setting which contrary to most of the literature does not exhibit...

Persistent link: https://www.econbiz.de/10013316943

Why Do Differences in the Degree of Fiscal Decentralization Endure?

Calsamiglia Blancafort, Xavier; Garcia-Milà, Teresa; … - 2021

Differences in the degree of fiscal decentralization observed between the U.S. and many countries in Europe cannot be … explained within the standard theory of fiscal decentralization. By introducing preferences for solidarity - equality in the … choices. We develop a model of fiscal decentralization that incorporates tastes for solidarity, multiple levels of government …

Persistent link: https://www.econbiz.de/10013317270

Voluntary Matching Grants Can Forestall Social Dumping

Drèze, Jacques H.; Figuières, Charles; Hindriks, Jean - 2021

European economic integration leads to increasing factor mobility, thereby threatening the stability of social transfer programs. This paper investigates the possibility of achieving, by means of voluntary matching grants, both the optimal allocation of factors and the optimal level of...

Persistent link: https://www.econbiz.de/10013317279

Using a Discontinuous Grant to Identify the Effect of Grants on Local Taxes and Spending

Dahlberg, Matz; Mörk, Eva; Rattsø, Jørn; Agren, Hanna - 2021

When investigating the effects of federal grants on the behavior of lower-level governments, it is hard to defend the handling of grants as an exogenous factor affecting local governments; federal governments often set grants based on characteristics and performance of local governments. In this...

Persistent link: https://www.econbiz.de/10013317318

Efficient Revenue Sharing and Upper Level Governments : Theory and Application to Germany

Büttner, Thiess; Hauptmeier, Sebastian; Schwager, Robert - 2021

Recent literature has emphasized that redistributive grant systems may tend to internalize fiscal externalities arising from tax competition. This paper further explores the conditions under which local grant systems enforced by the state government will enhance efficiency. A system of...

Persistent link: https://www.econbiz.de/10013317654