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Do formula-based intergovernmental transfer mechanisms eliminate politically motivated targeting?: Evidence from Ghana

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  • Banful, Afua Branoah

Abstract

Theories of fiscal federalism imply that determining intergovernmental transfers based on the political incentives results in inefficient allocation of resources across geographic regions. Such practices also can result in tensions between classes, and ethnic and religious groups, which are concentrated in distinct geographical areas. Nevertheless, empirical evidence consistently confirms that the practice of allocating government resources based on political relationships continues to be pervasive around the world. This brief summarizes the results of an IFPRI study in Ghana assessing the effectiveness of formulas as a strategy to limit political motivation behind resource sharing.

Suggested Citation

  • Banful, Afua Branoah, 2010. "Do formula-based intergovernmental transfer mechanisms eliminate politically motivated targeting?: Evidence from Ghana," GSSP policy notes 1, International Food Policy Research Institute (IFPRI).
    • Handle: RePEc:fpr:gssppn:1
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    1. repec:dau:papers:123456789/12069 is not listed on IDEAS
    2. Pierre Andre & Sandrine Mesplé-Somps, 2010. "Politics and the geographic allocation of public funds in a semi-democracy. The case of Ghana, 1996 - 2004," Working Papers halshs-00962698, HAL.
    3. Pierre André & Sandrine Mesplé-Somps, 2013. "Sitting on the fence: Pork-barrels and democratization under threat of conflict. The case of Ghana, 1996 - 2004," THEMA Working Papers 2013-24, THEMA (THéorie Economique, Modélisation et Applications), Université de Cergy-Pontoise.
    4. repec:dau:papers:123456789/5746 is not listed on IDEAS
    5. Sandhya Garg, 2015. "Spatial convergence in public expenditure across Indian states: Implication of federal transfers," Indira Gandhi Institute of Development Research, Mumbai Working Papers 2015-028, Indira Gandhi Institute of Development Research, Mumbai, India.
    6. Maria El Khdari, 2019. "Déterminants des transferts intergouvernementaux : le cas du Maroc," Post-Print hal-02137651, HAL.
    7. Emilie Caldeira & Grégoire Rota-Graziosi, 2015. "La décentralisation dans les pays en développement : une revue de la littérature - Decentralization in developing countries: A literature review," CERDI Working papers halshs-01005204, HAL.
    8. repec:dau:papers:123456789/12022 is not listed on IDEAS

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