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Does fiscal decentralization result in more efficient governance and higher economic growth? This Paper empirically tests the hypothesis posed by theoretical literature that the effect of economic decentralization depends on features of the political institutions. Using data from 95 countries...
Persistent link: https://www.econbiz.de/10005791475
A rich array of institutional diversity makes the United States an excellent place to study the relationship between political institutions and public policy outcomes. This Paper has three main aims. First, it reviews existing empirical evidence on the relationship between institutional rules,...
Persistent link: https://www.econbiz.de/10005498200
separation, because differences in income distribution across regions mean some regions prefer more and some less redistribution …
Persistent link: https://www.econbiz.de/10005661906
China’s economic reforms have resulted in spectacular growth and poverty reduction. However, China’s institutions look ill-suited to achieve such a result, and they indeed suffer from serious shortcomings. To solve "China puzzle" this paper analyses China’s institution - a regionally...
Persistent link: https://www.econbiz.de/10008468688
Fiscal rules, such as the excessive deficit procedure and the stability and growth pact (SGP), aim at constraining government behaviour. Milesi-Ferretti (2003) develops a model in which governments circumvent such rules by reverting to creative accounting. The amount of this creative accounting...
Persistent link: https://www.econbiz.de/10005656275
Lack of access to finance is often cited as a key reason for why poor people remain poor. This Paper uses data on the Indian rural branch expansion programme to provide empirical evidence on this issue. Between 1977 and 1990, the Indian central bank mandated that a commercial bank could open a...
Persistent link: https://www.econbiz.de/10005792249
Before the transition governments had strong distributional objectives, which they pursued mainly by direct controls over state enterprise wage rates and hiring decisions, yielding a highly compressed wage distribution. During the reform they maintained similar controls over state enterprises,...
Persistent link: https://www.econbiz.de/10005114146
The poor favour redistribution and the rich oppose it, but that is not all. Social mobility may make some of today …’s poor into tomorrow’s rich and since redistributive policies do not change often, individual preferences for redistribution … should depend on the extent and the nature of social mobility. We estimate the determinants of preferences for redistribution …
Persistent link: https://www.econbiz.de/10005114467
The distribution of human capital and income lies at the center of a nexus of forces that shape a country’s economic, institutional and technological structure. I develop here a unified model to analyse these interactions and their growth consequences. Five main issues are addressed. First, I...
Persistent link: https://www.econbiz.de/10005661547
systems of increasing factor mobility. In particular, we expect the extent of redistribution (both intra- and …
Persistent link: https://www.econbiz.de/10005136425