Is fiscal decentralization good for your health? Evidence from a panel of OECD countries

  1. Jiménez Rubio, Dolores
  2. Cantarero Prieto, David
  3. Pascual Sáez, Marta
Libro:
XVIII Encuentro de economía pública

Editorial: [s.l: s.n.]

Año de publicación: 2011

Congreso: Encuentro de Economía Pública (18. 2011. Málaga)

Tipo: Aportación congreso

Resumen

In this study we use improved data of fiscal decentralization to re-examine the hypothesis that shifts towards more fiscal decentralization would be accompanied by improvements in population health on a panel of 19 OECD countries. The advantage of the new measure of decentralization is that it reflects better than previous measures the existence of autonomy in the decision making authority of lower tiers of government, a crucial issue in the decentralization process. Our results show that fiscal decentralization has a substantial and positive effect on health outcomes over the period studied. However, we find that conventional measures of decentralization tend to over-estimate the magnitude of the effect.