Fiscal Decentralization and Economic Growth in China

Fiscal Decentralization and Employment in Pakistan

“…The results of fiscal decentralization are in line with the study of Malik et al (2006). Our results also support Lin and Liu (2000), Akai and Sakata (2002), Thiessen (2003), Ebel and Yilmaz (2004), Limi (2005), andGemmell et al (2009) findings that fiscal decentralization positively influencing economic growth and employment.…”

Can China’s Growth be Sustained? A Productivity Perspective

“…This was made possible by the high savings rate, which averaged 40% of GDP for most of the 1990s and has recently grown to close to 50% (IMF, 2005). The investment boom was also fueled by local governments, over which the central government had limited control following fiscal decentralization in 1994 (Lin and Liu, 2000;OECD, 2002. p. 57). They constructed plants and infrastructure even if it made little economic sense.…”

Fiscal efficiency, redistribution and welfare

“…Following the seminal work of Oates (1972), the literature has discussed the potential advantages and disadvantages of FD widely; the consensus emerging from this literature is that the effectiveness of FD depends on various related institutional and structural factors (see, for example, Oates, 1999;Tanzi, 2000;De Mello, 2000;Bouton et al, 2008;and Neyapti, 2004and Neyapti, , 2006. Among the growing number of studies that investigate the effects of FD, those that are of particular interest for the current study focus mainly on the growth implications of FD, and show mixed evidence at that (see, for example, Davoodi and Zou, 1998;Lin and Liu, 2000;Martinez-Vazquez and McNab, 2006;Thiessen, 2003). More recently, a number of studies focus on the welfare implications of FD and emphasize the significance of the various attributes of redistributive mechanisms for effective implementation of FD (see, for example, Sanguinetti and Tomassi, 2004;Stowhase and Traxler, 2005;Akin et al, 2010).…”