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Economies
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The Relationship between Decentralisation and Economy
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The Relationship between Decentralisation and Economy

A special issue of Economies (ISSN 2227-7099).

Deadline for manuscript submissions: closed (31 December 2020) | Viewed by 16834

Special Issue Editor

Dr. Vassilis Tselios

E-Mail Website
Guest Editor
Department of Economic and Regional Development, Panteion University of Social and Political Sciences, 176 71 Athens, Greece
Interests: regional development; regional policy; decentralisation; inequalities; well-being; disasters

Special Issue Information

Dear Colleagues,

In most countries, the responsibility to provide goods and services to citizens is partly decentralised. Some goods and services are provided and funded at the local or regional level (i.e., subnational level), while other goods and services are provided and funded at the central level. Although the degree of decentralisation as well as what public sector resources are provided and funded at the subnational level differ from country to country, the co-participation of local/regional and central governments in policymaking is crucial to the development of any economy. This Special Issue examines the developmental role of local authorities. It examines whether fiscal, political and/or administrative decentralisation is likely to act as a tool to achieve better social, economic and political outcomes for an economy (such as higher efficiency and equity) and higher well-being for its citizens (such as higher life satisfaction and standards of living). This Special Issue will examine both the merits and the strengths of decentralisation not only from a macroeconomic perspective but also from a microeconomic perspective.

Dr. Vassilis Tselios
Guest Editor

Manuscript Submission Information

Manuscripts should be submitted online at www.mdpi.com by registering and logging in to this website. Once you are registered, click here to go to the submission form. Manuscripts can be submitted until the deadline. All submissions that pass pre-check are peer-reviewed. Accepted papers will be published continuously in the journal (as soon as accepted) and will be listed together on the special issue website. Research articles, review articles as well as short communications are invited. For planned papers, a title and short abstract (about 100 words) can be sent to the Editorial Office for announcement on this website.

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Keywords

  • Decentralisation
  • Development
  • Equity
  • Efficiency
  • Well-being
  • Regions
  • Citizens

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Published Papers (3 papers)

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Research

15 pages, 282 KiB  
Article
The Impact of Special Allocation Fund (DAK) for Health on Achievements of Health Development Performance in Indonesia
by Agnes Putri Apriliani and Khoirunurrofik Khoirunurrofik
Economies 2020, 8(3), 72; https://doi.org/10.3390/economies8030072 - 7 Sep 2020
Cited by 5 | Viewed by 4395
Abstract
In the implementation of decentralization, the Special Allocation Fund (DAK) for health is given to certain areas of Indonesia to support health financing. The performance of this financing, along with national health development priorities’ achievements, is illustrated through the indicators of coverage of [...] Read more.
In the implementation of decentralization, the Special Allocation Fund (DAK) for health is given to certain areas of Indonesia to support health financing. The performance of this financing, along with national health development priorities’ achievements, is illustrated through the indicators of coverage of deliveries in health care facilities (PF) and coverage of first neonatal visits (KN1). Yearly increases in the health DAK budget have not been accompanied by increases in these coverages, and there are still significant disparities between regions. Using secondary data at the district/city level for 2014–2017, this study aims to investigate the impact of health DAK on coverage of PF and KN1. The analytical method deployed is linear regression of panel data using a fixed-effects model. The results show that in the short term, health DAK has a positive but insignificant effect on PF and KN1 coverage. However, health DAK has a positive and significant impact on PF coverage in the second year. Impact on KN1 coverage is unfeasible, even over a period of two years. These results indicate that the processes of planning, budgeting, and administering of health DAK require improvement so that benefits can be felt in the short term through better innovations in health programs. Nevertheless, given that our findings are based on a short period of study, the results from such analyses should consequently be treated with the utmost caution Therefore, future research should target a longer period of data collection to detect more trusty lagged effects and structural breaks of a policy intervention. Full article
(This article belongs to the Special Issue The Relationship between Decentralisation and Economy)
24 pages, 5255 KiB  
Article
Beyond the EU Structural Funds’ Absorption Rate: How Do Regions Really Perform?
by Eirini Aivazidou, Giovanni Cunico and Edoardo Mollona
Economies 2020, 8(3), 55; https://doi.org/10.3390/economies8030055 - 1 Jul 2020
Cited by 13 | Viewed by 5909
Abstract
Although the EU structural funds aim to alleviate disparities through supporting regional development, their impact on local economies and societies is considered as uneven. As existing studies explore the absorption rate of the EU share of contribution as a point-in-time indicator at the [...] Read more.
Although the EU structural funds aim to alleviate disparities through supporting regional development, their impact on local economies and societies is considered as uneven. As existing studies explore the absorption rate of the EU share of contribution as a point-in-time indicator at the end of the policy cycle, evidence about regional co-finance and the factors dynamically affecting absorption performance is lacking. To that end, this paper aims to provide a new longitudinal investigation of the absorption time series and develop an original indicator, supported by a statistical error analysis, for offering a transparent view of the total funds’ absorption. The analysis highlights that undesired regional strategies due to low administrative capacity may increase the absorption rate, though without supporting regional growth. The proposed approach could further facilitate the equitable allocation of political accountability regarding the structural funds’ absorption to the EU and the regions. Overall, it is anticipated that this research will support the EU in monitoring actual regional performance for prompting local managing authorities to improve their administrative capacity. Full article
(This article belongs to the Special Issue The Relationship between Decentralisation and Economy)
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26 pages, 1145 KiB  
Article
Did Decentralisation Affect Citizens’ Perception of the European Union? The Impact during the Height of Decentralisation in Europe
by Vassilis Tselios and Andrés Rodríguez-Pose
Economies 2020, 8(2), 38; https://doi.org/10.3390/economies8020038 - 10 May 2020
Cited by 6 | Viewed by 5965
Abstract
The aim of this paper is to assess the extent to which different levels of decentralisation across regions of the European Union (EU) affected citizens’ perceptions about European integration over the period 1973–2002. The paper uses Eurobarometer Surveys to explore by means of [...] Read more.
The aim of this paper is to assess the extent to which different levels of decentralisation across regions of the European Union (EU) affected citizens’ perceptions about European integration over the period 1973–2002. The paper uses Eurobarometer Surveys to explore by means of multinomial logistic regressions whether decentralisation was an important factor behind the varying perceptions about Europe. Two dimensions of decentralization—political and fiscal—are considered in the analysis, alongside several compositional and contextual effects. The results of the analysis show that fiscal decentralisation was fundamental for citizens’ support for European integration, while there is limited evidence that political decentralisation played a similar role. Hence, while fiscal decentralisation may have given prominence to the economic benefits of European integration, political decentralisation was more associated with its economic costs. Taking into account that history matters, this paper raises potentially interesting insights for the design of policies aimed at promoting social cohesion. Full article
(This article belongs to the Special Issue The Relationship between Decentralisation and Economy)
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