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Article
Fiscal decentralization and economic growth reconsidered
Journal of Urban Economics (2007)
  • John Thornton
Abstract
Recent studies examining the relation between fiscal decentralization and economic growth have failed to take account of the extent of the independent taxing powers available to sub-national governments and thus have substantially overstated the degree of effective decentralization. Results from a cross section study of 19 OECD member countries suggest that when the measure of fiscal decentralization is limited to the revenues over which sub-national governments have full autonomy, its impact on economic growth is not statistically significant.
Keywords
  • Fiscal decentralization,
  • Sub-national governments,
  • Autonomy,
  • Economic growth
Publication Date
January, 2007
Citation Information
John Thornton. "Fiscal decentralization and economic growth reconsidered" Journal of Urban Economics Vol. 61 Iss. 1 (2007)
Available at: http://works.bepress.com/john_thornton/12/