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Chanchal Kumar Sharma,in his paper demonstrates that in order for fiscal decentralisation to be effective, it must be approached federally. A federal approach is not a decentralised approach but a dynamically balanced approach; one that constantly keeps on adjusting the contrasting forces of...
Persistent link: https://www.econbiz.de/10014054503
This paper analyses of some the key aspects of public expenditure policy in Denmark. The public expenditure to GDP ratio has abated markedly since the mid-1990s, reflecting both cyclical gains and the return on structural reforms. Nevertheless, the underlying upward pressure on government...
Persistent link: https://www.econbiz.de/10012443874
Some politicians argue for the splitting and combining of states to increase government productivity, but there is a dearth of empirical evidence on the optimal size of a state. Using data from Indian states, I test a model of the optimal size of the state. I find that size and preference...
Persistent link: https://www.econbiz.de/10011459114
After the financial and economic crisis in Europe, a broad consensus has emerged that a stronger fiscal dimension may be needed to complete the architecture of Economic and Monetary Union (EMU). This paper analyses the performance of interregional transfers in existing fiscal-federal systems,...
Persistent link: https://www.econbiz.de/10012197708
The paper analyzes one important aspect of the constitutional debate: the allocation of econornie competences between the EU and the mernber states. It takes the theory of fiscal federalism as a starting point for an optimal allocation of economic competences. The main message of the theory is...
Persistent link: https://www.econbiz.de/10011490654
From the literature on decentralization, it appears that the fiscal vertical imbalance is somehow inherent to multi …
Persistent link: https://www.econbiz.de/10010259921
Fiscal decentralization is high on the agenda in policy fora. This paper empirically investigates the underlying causes … of fiscal decentralization, based on the predictions of a simple political economy model. We argue that the likeliness … support the relevance of political factors as determinants of fiscal decentralization. The relationship between central …
Persistent link: https://www.econbiz.de/10009294096
Economic models of Fiscal Federalism, according to different settings, are generally linear and static, offering unique and deterministic solutions starting with simplifying assumptions. This paper rises from the idea to investigate how the decision-makers, abandoning their traditional economic...
Persistent link: https://www.econbiz.de/10009323654
The paper addresses the welfare implications of conditional grants in the presence of inefficiencies in regional production. While conditional grants may set incentives for regions to reduce inefficiencies, resources are wasted in the process of grant-seeking. We provide a theoretical model to...
Persistent link: https://www.econbiz.de/10008692978
Fiscal decentralization is high on the agenda in policy fora. This paper empirically investigates the underlying causes … of Â…fiscal decentralization, based on the predictions of a simple political economy model. We argue that the likeliness … democracies support the relevance of political factors as determinants of fiÂ…scal decentralization. The relationship between …
Persistent link: https://www.econbiz.de/10009275712