Abstract
In this paper we examine nancial interactions between tiers of government.
Whilst most existing empirical evidence has focused on the US, it is dicult
to generalize conclusions obtained to countries where the position and remit
of lower tiers of government is evolving or is less clear constitutionally. Applying event study methodology to a dataset covering 15 countries we examine
the timing, extent and composition of scal changes around consolidation
attempts and central government grant cuts. Highlighting the participation
of central and sub-central tiers of government our analysis also sheds light on
key outcomes including decentralized service provision and macroeconomic
adjustment.
Whilst most existing empirical evidence has focused on the US, it is dicult
to generalize conclusions obtained to countries where the position and remit
of lower tiers of government is evolving or is less clear constitutionally. Applying event study methodology to a dataset covering 15 countries we examine
the timing, extent and composition of scal changes around consolidation
attempts and central government grant cuts. Highlighting the participation
of central and sub-central tiers of government our analysis also sheds light on
key outcomes including decentralized service provision and macroeconomic
adjustment.
| Original language | English |
|---|---|
| Place of Publication | Glasgow |
| Publisher | University of Strathclyde |
| Pages | 1-42 |
| Number of pages | 46 |
| Volume | 04 |
| Publication status | Published - 15 Jul 2004 |
Keywords
- financial interactions
- fiscal consolidation
- central government
- grant cut