Fiscal Fragmentation In Decentralized Countries

Author : Richard Miller Bird
Publisher : Edward Elgar Publishing
Page : 451 pages
File Size : 44,9 Mb
Release : 2014-05-14
Category : Business & Economics
ISBN : 9781781007617

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Fiscal fragmentation in decentralized countries by Richard Miller Bird Pdf

Most countries, developed and developing, are fiscally decentralized with regional and local governments of varying importance. In many of these countries, some of these sub-national governments differ substantially from others in terms of wealth, ethnic, religious, or linguistic composition. This book considers how fiscal arrangements may strengthen or weaken national solidarity and the effectiveness with which public services are provided. In particular, the nation's ability to cope with changes created by decentralization is explored.

Author : Robin Boadway,Luc Eyraud
Publisher : International Monetary Fund
Page : 44 pages
File Size : 40,9 Mb
Release : 2018-12-10
Category : Business & Economics
ISBN : 9781484387788

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Designing Sound Fiscal Relations Across Government Levels in Decentralized Countries by Robin Boadway,Luc Eyraud Pdf

This paper discusses how decentralized countries can achieve sound fiscal relations between the central government and lower government levels. The concepts of “vertical gap” and “vertical balance” provide an analytical framework for identifying and addressing key challenges. These concepts can help policymakers ensure that the financing of subnational governments (composed of transfers received from the center, own revenues, and borrowing) is both efficient and adequate given the allocation of spending responsibilities. More generally, the paper offers some perspectives about the optimal design of decentralization systems by examining the sequencing and economic principles underlying revenue and expenditure assignments, the use of transfers, and borrowing.

Author : Inaki Aldasoro,Mr.Mike Seiferling
Publisher : International Monetary Fund
Page : 39 pages
File Size : 53,9 Mb
Release : 2014-11-20
Category : Business & Economics
ISBN : 9781484357552

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Vertical Fiscal Imbalances and the Accumulation of Government Debt by Inaki Aldasoro,Mr.Mike Seiferling Pdf

Delegating fiscal decision making power to sub-national governments has been an area of interest for both academics and policymakers given the expectation that it may lead to better and more efficient provision of public goods and services. Decentralization has, however, often occurred on the expenditure and less on the revenue side, creating “vertical fiscal imbalances” where sub-national governments’ expenditures are not financed through their own revenues. The mismatch between own revenues and expenditures may have consequences for public finance performance. This study constructs a large sample of general and subnational level fiscal data beginning in 1980 from the IMF’s Government Finance Statistics Yearbook. Extending the literature to the balance sheet approach, this paper examines the effects of vertical fiscal imbalances on government debt. The results indicate that vertical fiscal imbalances are relevant in explaining government debt accumulation suggesting a degree of caution when promoting fiscal decentralization. This paper also underlines the role of data covering the general government and its subectors for comprehensive analysis of fiscal performance.

Author : Roy Bahl,Richard M. Bird
Publisher : Edward Elgar Publishing
Page : 512 pages
File Size : 41,7 Mb
Release : 2018-03-30
Category : Business & Economics
ISBN : 9781786435309

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Fiscal Decentralization and Local Finance in Developing Countries by Roy Bahl,Richard M. Bird Pdf

This book draws on experiences in developing countries to bridge the gap between the conventional textbook treatment of fiscal decentralization and the actual practice of subnational government finance. The extensive literature about the theory and practice is surveyed and longstanding problems and new questions are addressed. It focuses on the key choices that must be made in decentralizing, on how economic and political factors shape the choices that countries make, and on how, by paying more attention to the need for a more comprehensive approach and the critical connections between different components of decentralization reform, everyone involved might get more for their money.

Author : Anwar Shah
Publisher : World Bank Publications
Page : 50 pages
File Size : 43,6 Mb
Release : 2004
Category : Decentralization in government
ISBN : 8210379456XXX

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Fiscal Decentralization in Developing and Transition Economies by Anwar Shah Pdf

Author : Nuria Bosch,José M. Durán
Publisher : Edward Elgar Publishing
Page : 279 pages
File Size : 46,6 Mb
Release : 2008-01-01
Category : Political Science
ISBN : 9781848442719

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Fiscal Federalism and Political Decentralization by Nuria Bosch,José M. Durán Pdf

This highly original book analyzes political decentralization and fiscal federalism in Canada and Germany, both traditional federal countries, and in Spain, a unitarian country engaged in the last two decades in a process of decentralization. The three key issues required for a well designed financing system are analyzed in depth herein, namely: tax assignment, equalization grants (i.e. redistribution of money from the wealthy regions or the national government to poorer regions) and the role of regional government in the administration of taxes. Fiscal Federalism and Political Decentralization will be of particular interest to academics and researchers of economics, public economics, public finance and public choice. It will also appeal to politicians and policy makers as well as organizations and agencies related to the economy and fiscal federalism.

Author : Richard Miller Bird
Publisher : Cambridge University Press
Page : 316 pages
File Size : 49,9 Mb
Release : 1998
Category : Business & Economics
ISBN : 9780521641432

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Fiscal Decentralization in Developing Countries by Richard Miller Bird Pdf

There appears to be an increasing trend in worldwide fiscal decentralization. In particular, many developing countries are turning to various forms of fiscal decentralization as an escape from inefficient and ineffective governance, macroeconomic stability, and inadequate growth. Fiscal Decentralization in Developing Countries: An Overview edited by Professors Bird and Vaillancourt and featuring important research from leading scholars assesses the progress, problems and potentials of fiscal decentralization in a variety of developing countries around the world. With rich and varied case-study material from countries as diverse as India, China, Colombia, Bosnia-Herzegovina and South Africa this volume complements neatly the collection Fiscal Aspects of Evolving Federations edited by David Wildasin and also published by Cambridge, which presented theoretical advances in the area of research.

Author : Robert D. Ebel,Serdar Yilmaz
Publisher : World Bank Publications
Page : 32 pages
File Size : 41,5 Mb
Release : 2002
Category : Central-local government relations
ISBN : 8210379456XXX

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On the Measurement and Impact of Fiscal Decentralization by Robert D. Ebel,Serdar Yilmaz Pdf

Author : Anwar Shah,Theresa Thompson
Publisher : World Bank Publications
Page : 45 pages
File Size : 49,6 Mb
Release : 2004
Category : Decentralization in government
ISBN : 8210379456XXX

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Implementing Decentralized Local Governance by Anwar Shah,Theresa Thompson Pdf

Author : Bernard Dafflon,Krisztina Tóth
Publisher : World Bank Publications
Page : 78 pages
File Size : 44,5 Mb
Release : 2005
Category : Decentralization in government
ISBN : 9780050627099

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Fiscal Federalism in Switzerland by Bernard Dafflon,Krisztina Tóth Pdf

Its highly fragmented structure of local governments and serious horizontal fiscal imbalances make Switzerland a surprisingly powerful model for Eastern European countries that are currently facing the challenge of fiscal decentralization. In spite of the substantial differences in the tradition and current practice of intergovernmental fiscal relations, transition economies may learn valuable lessons from the Swiss case in the fields of direct democracy, horizontal cooperation, expenditure and revenue assignment, and fiscal discipline. Among other conclusions, the authors suggest that subnational authorities can effectively fend off recentralization attempts of the central government if they engage in spontaneous cooperation to enhance the efficiency of public service provision. Together with an adequate fiscal equalization scheme, interjurisdictional cooperation also permits the reconciliation of the objective of an increasing devolution of powers with the existing regional disparities. The authors also show that the principle of subsidiarity can best be safeguarded by anchoring the expenditure and revenue powers of subnational governments in the constitution or in a similarly strong law. With regard to fiscal discipline, the combination of a "golden rule" with direct democratic instruments of budget control is proven to be successful in enhancing the accountability of local politicians toward their constituencies.

Author : Dan Stegarescu
Publisher : Springer Science & Business Media
Page : 232 pages
File Size : 53,7 Mb
Release : 2006-03-08
Category : Business & Economics
ISBN : 9783790816709

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Decentralised Government in an Integrating World by Dan Stegarescu Pdf

The book offers a comprehensive empirical analysis of the determinants of changes in the distribution of expenditure and revenue-raising powers among fiscal tiers in OECD countries. Using a new indicator of fiscal decentralisation which accounts for subnational decision-making autonomy, common decentralisation trends are investigated. Then, empirical evidence from panel analyses is provided for the role of costs, preferences and institutions in explaining fiscal federal structures, and for the impact of economic and political integration on the degree of government decentralisation, particularly among EU countries. Finally, the historical experience of Germany is used to explore long-term developments in the public sector.

Author : Ms. Annalisa Fedelino
Publisher : International Monetary Fund
Page : 113 pages
File Size : 55,5 Mb
Release : 2010-06-01
Category : Business & Economics
ISBN : 9781451991956

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Making Fiscal Decentralization Work by Ms. Annalisa Fedelino Pdf

The question of what makes fiscal decentralization work is faced by many policymakers around the world. This book draws on both the relevant literature and policy and technical advice provided by the IMF to a wide range of member countries, and discusses the key factors that help make decentralization sustainable, efficient, and equitable from a macroeconomic perspective. It focuses on institutional reforms (in the revenue and expenditure assignments to different levels of government, the design of intergovernmental transfers, and public financial management systems) that are suited to different countries' circumstances, and their appropriate sequencing.

Author : Anwar Shah
Publisher : Unknown
Page : 128 pages
File Size : 46,9 Mb
Release : 2012
Category : Electronic
ISBN : OCLC:931675173

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Fiscal Decentralization and Fiscal Performance by Anwar Shah Pdf

A resurgence of recent interest in fiscal federalism has been a source of concern among macroeconomic stabilization experts. They argue that a decentralized fiscal system poses a threat to macroeconomic stability as it is incompatible with prudent monetary and fiscal management. The author addresses these concerns by taking a simple neo-institutional economics with an econometric analysis perspective. His analysis concludes that, contrary to a common misconception, fiscal decentralization is associated with improved fiscal performance and better functioning of internal common markets. Fiscal policy coordination represents an important challenge for federal systems. In this context, fiscal rules and institutions provide a useful framework but not necessarily a solution to this challenge. Fiscal rules binding on all levels can help sustain political commitment in countries having coalitions or fragmented regimes in power. Coordinating institutions help in the use of moral suasion to encourage a coordinated response. Industrial countries' experiences also show that unilaterally imposed federal controls and constraints on subnational governments typically do not work. Instead, societal norms based on fiscal conservatism such as the Swiss referenda and political activism of the electorate play important roles. Ultimately capital markets and bond-rating agencies provide more effective discipline on fiscal policy. In this context, it is important not to backstop state and local debt and not to allow ownership of the banks by any level of government. Transparency of the budgetary process and institutions, accountability to the electorate, and general availability of comparative data encourages fiscal discipline. Fiscal decentralization poses significant challenges for macroeconomic management. These challenges require careful design of monetary and fiscal institutions to overcome adverse incentives associated with the "common property" resource management problems or with rent seeking behavior. Experiences of federal countries indicate significant learning and adaptation of fiscal systems to create incentives compatible with fair play and to overcome incomplete contracts. This explains why that decentralized fiscal systems appear to do better than centralized fiscal systems on most aspects of monetary and fiscal policy management and transparent and accountable governance.

Author : Bernard Dafflon,Krisztina T??th
Publisher : Unknown
Page : 128 pages
File Size : 54,8 Mb
Release : 2012
Category : Electronic
ISBN : OCLC:931674823

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Fiscal Federalism in Switzerland by Bernard Dafflon,Krisztina T??th Pdf

Its highly fragmented structure of local governments and serious horizontal fiscal imbalances make Switzerland a surprisingly powerful model for Eastern European countries that are currently facing the challenge of fiscal decentralization. In spite of the substantial differences in the tradition and current practice of intergovernmental fiscal relations, transition economies may learn valuable lessons from the Swiss case in the fields of direct democracy, horizontal cooperation, expenditure and revenue assignment, and fiscal discipline. Among other conclusions, the authors suggest that subnational authorities can effectively fend off recentralization attempts of the central government if they engage in spontaneous cooperation to enhance the efficiency of public service provision. Together with an adequate fiscal equalization scheme, interjurisdictional cooperation also permits the reconciliation of the objective of an increasing devolution of powers with the existing regional disparities. The authors also show that the principle of subsidiarity can best be safeguarded by anchoring the expenditure and revenue powers of subnational governments in the constitution or in a similarly strong law. With regard to fiscal discipline, the combination of a "golden rule" with direct democratic instruments of budget control is proven to be successful in enhancing the accountability of local politicians toward their constituencies.

Author : Peter Friedrich
Publisher : Unknown
Page : 262 pages
File Size : 44,8 Mb
Release : 2004
Category : Electronic
ISBN : 3830507208

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Fiscal Decentralization by Peter Friedrich Pdf