Arbeitspapier
Government Decentralization as a Commitment
In the past several decades, many countries, among them non-democratic, chose to decentralize their governments. Building on insights provided by the second generation wave of research on fiscal federalism, this paper proposes a unified model to account for this. The idea is that decentralization serves as a commitment device to ensure that ex post chose policies will reflect regional preferences, thereby boosting individual productive effort incentives. This theory may explain the decentralization process in China in 1980-1990s, as well as the fact that government decentralization is generally more prevalent in democracies.
- Language
-
Englisch
- Bibliographic citation
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Series: CESifo Working Paper ; No. 4809
- Classification
-
Wirtschaft
Structure and Scope of Government: General
- Subject
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federalism
regional decentralization
non-democracies
- Event
-
Geistige Schöpfung
- (who)
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Gradstein, Mark
- Event
-
Veröffentlichung
- (who)
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Center for Economic Studies and ifo Institute (CESifo)
- (where)
-
Munich
- (when)
-
2014
- Handle
- Last update
-
10.03.2025, 11:42 AM CET
Data provider
This object is provided by:
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. If you have any questions about the object, please contact the data provider.
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. If you have any questions about the object, please contact the data provider.
Object type
- Arbeitspapier
Associated
- Gradstein, Mark
- Center for Economic Studies and ifo Institute (CESifo)
Time of origin
- 2014
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