Theories of government related to decentralization and. Physical and social conditions in africa favours it as a pragmatic response to the problems of government. In its most general term, decentralization refers to the transfer of authority from a central government to a subnational entity. A study of the impact of decentralization on access to. You have only one chance to make a good first impression. This policy enthusiasm has inspired a huge wave of research seeking to identify the effects of decentralization on a range of policyrelevant outcomes, as well as attempts to understand why. Evidence from republic of moldova phd, associate professor boris morozov, public administration institute, e. I provide a critical overview of the literature on political decentralization. Review of centralization and decentralization approaches. Principles of decentralization thomas courchene, jorge martinezvazquez, charles e. It should be noted at the outset that decentralization is not so much a theory as it is a common and variable practice in most countries to achieve primarily a diverse. The theories of decentralization and local government. James edwin kee, professor of public policy and public administration the george washington university abstract the last decade has seen a renewed interest in the concept of fiscal decentralization or fiscal federalism.
The undp defines, decentralisation as a complex process that reaches beyond structural reforms proposed in institutional frameworks. Theory as reform james edwin kee the federal system was created with the intention of combining the different advantages which result from the magnitude and the littleness of nations. There is no one single definition of decentralisation but the world bank, for instance, uses the term. Decentralization means dispersal of powers and authorities by the top level to the functional level management. Review of centralization and decentralization approaches to curriculum development in iran saeed vaziri yazdi ph. The philosophy of economic planning and its application in different parts of the world, in various ways, made the question of centralised and decentralised planning still more complex and subtle.
The root of the english word decentralization can be traced back to a latin word, which means a ay fro the e tre. The article concludes by describing emerging new issues that deserve more attention in. Theories of decentralization and local government brings fresh perspective to the debate and comparative analysis of vertical division of power. The undp role in decentralization and local governance vi foreword undp and the german federal ministry for economic cooperation and development bmz collaborated on a critical assessment of undp support to decentralization and local governance. A sampling of definitions page 1 joint undpgovernment of germany evaluation working paper of the undp role in decentralization and local governance october 1999 1. It says that the creation of decentralized units with a set of operational autonomy is governed by political factor. I argue that the sequencing of different types of decentralization. Given the complex nature of the concept, it is appropriate to define fiscal decentralization as the transfer by the central government to sub national governments. Pdf a powerful case for decentralization can be mounted.
Political science theories on decentralization political science theories on d focus on mobilization, organization, articulation, participation, contestation, and aggregation of interests schneider, 2003, p. There has been a significant increase in attention to the. This policy note explores i why countries choose to decentralize their governance. In fact, decentralization is all extension of delegation.
Fifth, this research is also motivated by the possibility of bringing, as control. Concept paper on decentralisation and local governance 4 2. Science, administrative theory, and public ad ministration. Decentralization is the means to allow for the participation of people and local governments morell. Introduction the existence of local government has always been defended on the basis that it is a crucial aspect of the process of democratization and intensification of mass participation in the decisionmaking process. A global perspective antwiboasiako, kwame badu, csanyi, peter on.
On the theory and practice of fiscal decentralization wallace e. Physical and social conditions in africa favours it as a pragmatic response to the. E7 department of economic and social affairs division for public economics and public administration decentralization. Decentralization reform refers to transforming the local institutional infrastructure for natural resource management on which local forest management is based ribot. Decentralization may not always be efficient, especially for standardized, routine, networkbased services. Decentralization and governance jeanpaul faguet london school of economics and political science, uk summary. Theoretical framework the concept of decentralisation is used differently by different economists and groups. Oates the traditional theory of public finance has made a strong case for a major role for fiscal decentralization. In this article, i propose a sequential theory of decentralization that has three main characteristics. Decentralization of governance and development pranab bardhan a ll around the world in matters of governance, decentralization is the rage.
Modern decentralisation tends to use subsidiarity as the organising principle of decentralisation. Some are searching for a more efficientand leanerpublic sector, while others are disenchanted with the performance of planning and centralized policies e. An economic theory of fiscal decentralization charles m. Pdf approches and types of decentralization nitish. The failures of the centralized forms of state intervention and the realization that deconcentration had its limits, and the renewal of freemarket theories embodied by structural adjustment and macroeconomic stabilization policies, are all reasons for adapting public service in the direction of true decentralization. First generation theory fgt cassical normative theory of fiscal federalism is also known as first generation theory fgt. The notion of local governance can, accordingly, be regarded as an attempt to come to grips with the limitations of statecentred local management. With the german government having evaluated its own decentralization projects in countries. A normative approach may take the political structure as given and then see what economic consequences result. This case is based on an improved allocation of resources in the public sector. State of affairs and perspectives introduction decentralisation, as a formula for territorial organisation, has not been subjected to much scrutiny during its first period of growth. Moving from a model of central provision to that of decentralization to local governments introduces a new relationship of accountability between national and local policymakerswhile altering existing relationships, such as.
A critical difference between centralization and decentralization in our model is the existence and the allocation of property rights. That said, new services require careful coordination, planning, and understanding of customer needs to succeed. The unification of powers and authorities, in the hands of highlevel management, is known as centralization. A powerful case for decentralization can be mounted. Decentralisation, as an aspect of local governance, helps to shift thinking away from statecentred perspectives to include elements which are often considered to be outside the public policy process. Delegation of authority is a complete process and takes place from one person to another. Towards a theoretical framework decentralization is the most popular concept in the contemporary period and is linked to development and democracy. Decentralisation and local governance theory and the. The causes and basic theory of decentralization c ountries begin decentralization processes for different reasons. To develop such a theory, we make one crucial assumption. The points given below are noteworthy, so far as the difference between centralization and decentralization is concerned. Under centralization, localities have no rights in dealing with the central authority. Ourso college of business, louisiana state university, sua abstract. The causes and basic theory of decentralization 3 roles in the theory of local public finance.
Theory of decentralisation the idea of subsidiarity. Latin american cases in comparative perspective tulia g. This paper highlights an aspect which has not surfaced in the organization theory literature on centralization and decentralization that the pendulous movement between the two is driven, as. The most important theoretical argument concerning decentralization is that it can make government more accountable and responsive to the governed. The theoretical mechanisms through which decentralisation promotes good governance are well established in the political economy literature. But decentralization is not a panacea, and it does have potential disadvantages. I propose a sequential theory of decentralization that has three main characteristics. The major differences among these systems are context specific. A new system is never trusted until proven a success, and the first ex. This paper draws on the past history and more recent experience of decentralization in bangladesh, to conclude that the reform of local government structures has. Centralization and decentralization quest journals. The multiple author book is not just one of many similar around the globe, as it encompasses contributions. Localities effectively become internal divi sions of the central authoritys organization.
This paper examines the theory behind fiscal decentralization and suggests. It can result in the loss of economies of scale and control over scarce financial resources by the central government. We assume that there is a small social cost to taxation. Theory as reform james edwin kee, professor of public policy and public administration the george washington university abstract.
A read is counted each time someone views a publication summary such as the title, abstract, and list of authors, clicks on a figure, or views or downloads the fulltext. Summary theories of decentralization and local government brings fresh perspective to the debate and comparative analysis of vertical division of power. But beyond this general definition, the process of decentralization is a complex undertaking, taking on different meanings in different contexts and according to the desires and plans of those in charge of its design and implementation. The inability of the central government to reach its citizens effectively suggests that something else is necessary. Decentralization pattern is wider is scope and the authorities are diffused to the lowest most level of management. This comes after a halfcentury of fiscal centralization in most developed and developing nations. On the theory and practice of fiscal decentralization. The principle of subsidiarity has its origin in catholic social thought.
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