I examine decentralization through the lens of the local dynamics that it unleashes. The national effects of decentralization are simply the sum of its local-level effects. Hence to understand decentralization we must first understand how local government works. This paper proposes a theory of...

Hundreds of studies have failed to establish the effects of decentralization on a number of important policy goals. This paper examines the remarkable case of Bolivia to explore decentralization's effects on government responsiveness and poverty-orientation. I first summarize econometric results...

Most of the 60+ developing countries that have established social funds (SFs) are decentralising their governments as well. But the question of how to tailor SFs - originally a highly centralised model - for a decentralising context has received relatively little attention in the literature. We...

Decentralization is commonly advocated as a means to improve primary services and hence accelerate social development. Although solid theoretical arguments support this position, the empirical evidence by and large does not. This paper examines whether local governance can improve public service...

We study the theoretical and empirical links between fiscal policy and spatial inequality, with a non-exclusive focus on Latin American countries. We outline the two main dimensions of fiscal policy vis-à-vis economic inequality, and show how these can be used to analyze specific policy...

Hundreds of studies have failed to establish the effects of decentralisation on a number of important policy goals. This paper examines the cases of Bolivia and Colombia to explore decentralisation’s effects on government responsiveness and poverty-orientation. I first summarize economic data...

The effects of decentralization on public sector outputs is much debated but little agreed upon. This paper compares the remarkable case of Bolivia with the more complex case of Colombia to explore decentralization’s effects on public education outcomes. In Colombia, decentralization of...

Bangladesh in on track to achieve most of the MDGs goals, even the difficult ones like infant and maternal mortality provided that the quality and institutional mechanisms of service delivery to the poor are improved. This report provides an account of Bangladesh's MDG success but also...