Are fiscal decentralization and institutional quality poverty abating? Empirical evidence from developing countries

Fiscal federalism theorists have long been intrigued by the relationship between fiscal decentralization and poverty. Few people, however, consider cross-country research of similar linkages in developing countries. This research will provide new empirical evidence on the relationship between fiscal...

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Main Author: Kumba Digdowiseiso
Format: Article
Language:English
Published: Taylor & Francis Group 2022-12-01
Series:Cogent Economics & Finance
Subjects:
Online Access:https://www.tandfonline.com/doi/10.1080/23322039.2022.2095769
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author Kumba Digdowiseiso
author_facet Kumba Digdowiseiso
author_sort Kumba Digdowiseiso
collection DOAJ
description Fiscal federalism theorists have long been intrigued by the relationship between fiscal decentralization and poverty. Few people, however, consider cross-country research of similar linkages in developing countries. This research will provide new empirical evidence on the relationship between fiscal decentralization and poverty. It focuses on how the function of institutional quality can explain the relationship between fiscal decentralization and poverty in 53 developing countries from 1990 to 2014. The findings showed that a process-based approach as well as an outcome-based institutional-quality approach could explain the relationship between fiscal decentralization and poverty. In the case of democracy, revenue decentralization was found to be negatively and significantly related to poverty. In the case of, both revenue and expenditure decentralization were negatively and significantly associated with poverty.
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spelling doaj-art-42e6be5fa8164816a4653957d6e99dea2025-08-20T03:12:40ZengTaylor & Francis GroupCogent Economics & Finance2332-20392022-12-0110110.1080/23322039.2022.2095769Are fiscal decentralization and institutional quality poverty abating? Empirical evidence from developing countriesKumba Digdowiseiso0Development Economics, Universitas Nasional, Sawo Manila St., 12520, Jakarta, IndonesiaFiscal federalism theorists have long been intrigued by the relationship between fiscal decentralization and poverty. Few people, however, consider cross-country research of similar linkages in developing countries. This research will provide new empirical evidence on the relationship between fiscal decentralization and poverty. It focuses on how the function of institutional quality can explain the relationship between fiscal decentralization and poverty in 53 developing countries from 1990 to 2014. The findings showed that a process-based approach as well as an outcome-based institutional-quality approach could explain the relationship between fiscal decentralization and poverty. In the case of democracy, revenue decentralization was found to be negatively and significantly related to poverty. In the case of, both revenue and expenditure decentralization were negatively and significantly associated with poverty.https://www.tandfonline.com/doi/10.1080/23322039.2022.2095769Fiscal decentralizationinstitutional qualitypovertysubnational government analysisdeveloping countriesE62
spellingShingle Kumba Digdowiseiso
Are fiscal decentralization and institutional quality poverty abating? Empirical evidence from developing countries
Cogent Economics & Finance
Fiscal decentralization
institutional quality
poverty
subnational government analysis
developing countries
E62
title Are fiscal decentralization and institutional quality poverty abating? Empirical evidence from developing countries
title_full Are fiscal decentralization and institutional quality poverty abating? Empirical evidence from developing countries
title_fullStr Are fiscal decentralization and institutional quality poverty abating? Empirical evidence from developing countries
title_full_unstemmed Are fiscal decentralization and institutional quality poverty abating? Empirical evidence from developing countries
title_short Are fiscal decentralization and institutional quality poverty abating? Empirical evidence from developing countries
title_sort are fiscal decentralization and institutional quality poverty abating empirical evidence from developing countries
topic Fiscal decentralization
institutional quality
poverty
subnational government analysis
developing countries
E62
url https://www.tandfonline.com/doi/10.1080/23322039.2022.2095769
work_keys_str_mv AT kumbadigdowiseiso arefiscaldecentralizationandinstitutionalqualitypovertyabatingempiricalevidencefromdevelopingcountries