This study examines the relationship between fiscal decentralization and the functional composition of public expenditures. We develop a theoretical model based on a distance-sensitive representative agent model, some applications of the median-voter theorem, and the Tiebout choice model. In our...

This paper examines how fiscal decentralization may influence economic growth. Previous research on this question has primarily focused on the potential direct relationship between decentralization and growth. In this paper, we also examine the potential indirect influence of decentralization on...

This paper presents an overview of taxation in the transitional economies of Central and Eastern Europe and the Former Soviet Union. The governments of transitional economies have been implementingsimultaneous reforms of legal, political, and economic institutions, reforms which are dependent...

This paper reviews the current knowledge on an issue of increasing policy interest: what impact fiscal decentralization has on economic growth. Fiscal decentralization may indeed have a direct impact on economic growth but the theoretical underpinnings for this relationship remain largely...

The last decade has been witness to one of the largest tax experiments in economic history, the transformation from centrally-planned to market-based tax systems. The cultural and institutional legacy of central planning has had a lasting impact on tax reform in countries in transition. The...

The article investigates the potential impact of corruption on economic growth by examining the effect that corruption may have on several significant determinants of economic growth, namely, investment in human, private and public capital, and on governance. Our theoretical approach allows for...