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

Dahlberg, Matz; Mörk, Eva; Rattsø, Jørn; Ågren, Hanna - CESifo - 2006

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/10005766216

Policy Responses to Fiscal Restraints: A Difference-in-Discontinuities Design

Grembi, Veronica; Nannicini, Tommaso; Troiano, Ugo - CESifo - 2012

We evaluate the effect of relaxing fiscal rules on policy outcomes applying a quasi-experimental research design. In 1999, the Italian central government introduced fiscal rules aimed at imposing fiscal discipline on municipal governments, and in 2001 the rules were relaxed for municipalities...

Persistent link: https://www.econbiz.de/10010593127

The Impact of Teacher Subject Knowledge on Student Achievement: Evidence from Within-Teacher Within-Student Variation

Metzler, Johannes; Woessmann, Ludger - CESifo - 2010

Teachers differ greatly in how much they teach their students, but little is known about which teacher attributes account for this. We estimate the causal effect of teacher subject knowledge on student achievement using within-teacher within-student variation, exploiting a unique Peruvian...

Persistent link: https://www.econbiz.de/10008596573

Vertical Effects of Fiscal Rules - The Swiss Experience

Burret, Heiko T.; Feld, Lars P. - CESifo - 2014

) provides little evidence that budget constraints at the cantonal level affect municipal finances and fiscal decentralization …

Persistent link: https://www.econbiz.de/10010948867

Conservation Contracts and Political Regimes

Harstad, Bård; Mideksa, Torben - CESifo - 2015

Motivated by tropical deforestation, we analyze (i) a novel theory of resource extraction, (ii) the optimal conservation contract, (iii) when the donor prefers contracting with central rather than local governments, and (iv) how the donor’s presence may induce institutional change....

Persistent link: https://www.econbiz.de/10011273091

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

Dreher, Axel; Fischer, Justina A.V. - CESifo - 2009

decentralization on the occurrence of transnational terror. Our results show that expenditure decentralization reduces the number of … transnational terror events in a country, while political decentralization has no impact. These results are robust to the choice of …

Persistent link: https://www.econbiz.de/10005013064

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

Voigt, Stefan; Blume, Lorenz - CESifo - 2009

component analysis, seven aspects of both federalism and decentralization are used as variables for explaining differences in (1 … study adds to our knowledge on the transmission mechanisms of federalism and decentralization. …

Persistent link: https://www.econbiz.de/10005013947

Regional Inequality and Decentralization - An Empirical Analysis

Lessmann, Christian - CESifo - 2011

This paper analyzes the impact of political and fiscal decentralization on regional inequalities using a unique data … that decentralization decreases regional inequalities in general. However, estimations using an interaction variable … approach imply that the effect depends on the level of economic development. While rich countries benefit from decentralization …

Persistent link: https://www.econbiz.de/10009293485

The Political Economy of the Standard Level of Services: The Role of Income Distribution

Fiorillo, Fabio; Sacchi, Agnese - CESifo - 2012

The theory of fiscal federalism points out that decentralisation should be pursued in order to fit differences in individual preferences. However, the presence of externalities and the need of providing merit goods to citizens suggest that centralisation is likely to produce more efficient...

Persistent link: https://www.econbiz.de/10009416120

Decentralization and the Shadow Economy: Oates Meets Allingham-Sandmo

Bühn, Andreas; Lessmann, Christian; Markwardt, Gunther - CESifo - 2011

This paper studies the impact of decentralization on the shadow economy. We argue that decentralization may decrease … the size of the shadow economy mainly through two transmission channels: (1) Decentralization enhancing public sector … efficiency (efficiency effect), and (2) decentralization reducing the distance between bureaucrats and economic agents, which …

Persistent link: https://www.econbiz.de/10009278126