Fiscal decentralization and the size of government: a European country empirical analysis
| Autor: | Aurélie Cassette, Sonia Paty |
|---|---|
| Rok vydání: | 2009 |
| Předmět: |
Macroeconomics
Economics and Econometrics Government Sociology and Political Science Cointegration Short run 05 social sciences 1. No poverty ComputingMilieux_LEGALASPECTSOFCOMPUTING Public expenditure Decentralization Aggregate expenditure 0502 economics and business 8. Economic growth Economics 050207 economics 050205 econometrics Public finance Panel data |
| Zdroj: | Public Choice. 143:173-189 |
| ISSN: | 1573-7101 0048-5829 |
| DOI: | 10.1007/s11127-009-9496-x |
| Popis: | This article is an original contribution to the understanding of the relationship between fiscal decentralization and government size. Using a panel data set of the EU-15 countries, we analyse the effect of decentralization on aggregate, national and subnational government sizes by separating the long run effects of decentralization from its short run dynamics. In the long run, tax autonomy reduces central expenditure but increases—and to a greater extent—subnational public expenditure, leading to higher aggregate public expenditure. We find also that vertical imbalances tend to increase the sizes of subnational, national and aggregate governments. |
| Databáze: | OpenAIRE |
| Externí odkaz: |
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