Fiscal decentralization and economic growth in the OECD

Bodman, Philip (2011) Fiscal decentralization and economic growth in the OECD. Applied Economics, 43 23: 3021-3035. doi:10.1080/00036840903427208

Author Bodman, Philip
Title Fiscal decentralization and economic growth in the OECD
Journal name Applied Economics   Check publisher's open access policy
ISSN 1466-4283
Publication date 2011
Year available 2010
Sub-type Article (original research)
DOI 10.1080/00036840903427208
Volume 43
Issue 23
Start page 3021
End page 3035
Total pages 15
Place of publication London, U.K
Publisher Routledge
Collection year 2011
Language eng
Subject 1402 Applied Economics
Abstract What impact, if any, does Fiscal Decentralization (FD) have on economic growth? Further investigations of the inter-relationships between FD and economic growth are timely given that government decentralization remains at the forefront of many Organization for Economic Cooperation and Development (OECD) policy agendas. This study incorporates a range of measures of FD to better account for the direct impact of different levels of subnational fiscal autonomy on economic growth. The analysis also considers the impact of previously omitted public sector decentralization variables that provide further indication of the extent to which Subnational Governments (SNG) are 'closer to the people' and potentially better able to account for local preferences in fiscal decision-making. Whilst little evidence of a direct relationship between FD and output growth is found, some evidence is found to suggest that federal systems tend to have lower growth rates than do unitary states, independent of their degree of decentralization, and that countries with more elected tiers of government generally have lower economic growth.
Q-Index Code C1
Q-Index Status Confirmed Code
Institutional Status UQ
Additional Notes Available online: 07 Oct 2010

Document type: Journal Article
Sub-type: Article (original research)
Collections: Excellence in Research Australia (ERA) - Collection
Official 2011 Collection
School of Economics Publications
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Citation counts: TR Web of Science Citation Count  Cited 7 times in Thomson Reuters Web of Science Article | Citations
Scopus Citation Count Cited 9 times in Scopus Article | Citations
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Created: Mon, 11 Oct 2010, 14:18:05 EST by Jon Swabey on behalf of Faculty of Business, Economics & Law