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Decentralization and the Provision of Public Services : Framework and Implementation / Kim, Aehyung
World Bank Open Knowledge Repository (formerly "World Bank E-Library Publications") Available online
View online- Format:
- Book
- Government document
- Author/Creator:
- Kim, Aehyung
- Series:
- Policy research working papers.
- World Bank e-Library.
- Language:
- English
- Subjects (All):
- Banks and Banking Reform.
- Debt Markets.
- Decentralization.
- Distribution of income.
- Economic Theory and Research.
- Employment.
- Finance and Financial Sector Development.
- Fiscal Federalism.
- Income distribution.
- Intergovernmental Fiscal Relations and Local Finance Management.
- Local government.
- Macroeconomics and Economic Growth.
- Privatization.
- Public Sector Economics and Finance.
- Public service provision.
- Public Services.
- Revenue sources.
- Local Subjects:
- Banks and Banking Reform.
- Debt Markets.
- Decentralization.
- Distribution of income.
- Economic Theory and Research.
- Employment.
- Finance and Financial Sector Development.
- Fiscal Federalism.
- Income distribution.
- Intergovernmental Fiscal Relations and Local Finance Management.
- Local government.
- Macroeconomics and Economic Growth.
- Privatization.
- Public Sector Economics and Finance.
- Public service provision.
- Public Services.
- Revenue sources.
- Physical Description:
- 1 online resource (27 pages)
- Place of Publication:
- Washington, D.C., The World Bank, 2008
- System Details:
- data file
- Summary:
- This paper discusses decentralization (administrative, fiscal and political) of government in public service provision. It aims to facilitate understanding among practitioners, policy makers, and scholars about what decentralization entails in practice compared to theory. A review of the empirical literature and experience of decentralization is presented. The paper highlights issues that policy makers in developing and transitional countries should be aware of when reforming government, considering their unique political and economic environment. The author argues that decentralization produces efficiency gains stemming from inter-jurisdictional competition, enhanced checks and balances over the government through voting at the subnational level, and informational advantages due to proximity to citizens. By contrast, arguments against decentralization include the risk of an increased level of corruption, coordination problems stemming from multiple layers of government, low capacity of subnational government, and unproductive inter-jurisdictional competition. Decentralization itself does not render increased government effectiveness in public service provision. Instead, the effectiveness of government largely depends on the quality of human capital and institutions.
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