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Decentralization and public sector growth

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  • Gordon Tarzwell

Abstract

This paper uses a pooled Canadian data set to test for the causes of government growth. Unlike previous studies, these causes are tested simultaneously to avoid misspecification problems. The decentralization of government activities is found to lower the relative size of the public sector when power moves from the federal to the provincial or local governments but raises it when the power shifts from provincial to local governments.

Suggested Citation

  • Gordon Tarzwell, 1998. "Decentralization and public sector growth," Applied Economics Letters, Taylor & Francis Journals, vol. 5(5), pages 281-285.
    • Handle: RePEc:taf:apeclt:v:5:y:1998:i:5:p:281-285
    DOI: 10.1080/758524401
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    References listed on IDEAS

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    1. Michael Marlow, 1988. "Fiscal decentralization and government size," Public Choice, Springer, vol. 56(3), pages 259-269, March.
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    1. Gordon Tarzwell, 2003. "The impact of diverse preferences on government expenditures," Applied Economics Letters, Taylor & Francis Journals, vol. 10(11), pages 695-698.

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