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 …

decentralization on economic growth. Much of the traditional literature focuses on the efficiency aspects of a decentralized provision … of public services. However, decentralization may also increase growth by raising the ability of the political system to … innovate and carry out reforms. On the contrary, some authors argue that decentralization increases corruption and government …

. Following the decentralization theorem, the devolution of powers should increase aid effectiveness, since local decision …-makers are better informed about local needs. At the same time, decentralization has reverse effects, e.g., through coordination … consider how both anti-poverty instruments - financial assistance and decentralization - work together …