This paper examines the effect of elections on fiscal policies in 21 countries in Latin America and the Caribbean from 1983 to 1996. The budget surplus proves to be lower than normal in the preelectoral and higher in the postelectoral years. Both the expenditure and revenue sides contribute to...

Intergovernmental transfers from the central level are an important source of revenue for most subnational governments in developing countries. This importance is likely to grow even further considering ongoing decentralization initiatives in Latin America and elsewhere. This paper investigates...