Fiscal Federalism and Government Size in Transition Economies : The Case of Moldova

This paper examines the relationship between fiscal decentralization-the assignment of revenue sources and expenditure functions across government levels-and government size in Moldova. The empirical results-based on data for a cross-section of Moldovan subnational governments in 1998-suggest that f...

Full description

Corporate Author: International Monetary Fund
Format: eBook
Language:English
Published: Washington, D.C. International Monetary Fund 1999, 1999
Series:IMF Working Papers; Working Paper
Subjects:
Online Access:
Collection: International Monetary Fund - Collection details see MPG.ReNa
Summary:This paper examines the relationship between fiscal decentralization-the assignment of revenue sources and expenditure functions across government levels-and government size in Moldova. The empirical results-based on data for a cross-section of Moldovan subnational governments in 1998-suggest that fiscal decentralization is associated with larger subnational governments and that the country's revenue-sharing system imposes a constraint on subnational spending. Moldova is currently undergoing unprecedented reform of its system of intergovernmental fiscal relations, and consolidation of its local government. This reform package is crucial to ensure that decentralization does not increase the size of government
Physical Description:28 p.
ISBN:1451858795
9781451858792