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The paper compares decision-making on the centralisation of public goods provision in the presence of regional externalities under representative and direct democratic institutions. A model with two regions, two public goods and regional spillovers is developed in which uncertainty over the true...
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national state based on the political agenda effect. State centralization induces citizens of different backgrounds, interests … investments in conflict capacity. In the absence of state centralization, citizens do not necessarily band together because of … social democratic party may sometimes induce state centralization (by removing the commitment value of a non …
Persistent link: https://www.econbiz.de/10012991695
We analyze a model of moral hazard in local public services which could be efficiently managed by officials under local democratic accountability, but not by officials who are appointed by the ruler of a centralized autocracy. The ruler might prefer to retain an official who diverted resources...
Persistent link: https://www.econbiz.de/10012587346
The paper compares decision-making on the centralisation of public goods provision in the presence of regional externalities under representative and direct democratic institutions. A model with two regions, two public goods and regional spillovers is developed in which uncertainty over the true...
Persistent link: https://www.econbiz.de/10013317425
national state in many societies based on the political agenda effect. State centralization induces citizens of different … them to increase their investments and conflict capacity. In the absence of state centralization, citizens do not … society). We also suggest how the formation of a social democratic party may sometimes induce state centralization (by …
Persistent link: https://www.econbiz.de/10011572952