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Decentralization of social protection expenditure and economic growth in the OECD

Roberto Ezcurra and Andrés Rodríguez-Pose

No 2009-05, Working Papers from Instituto Madrileño de Estudios Avanzados (IMDEA) Ciencias Sociales

Abstract: This article examines the effect of the degree of decentralization of social protection expenditure on economic growth, using panel data for twenty OECD countries over the period 1990-2005. Our results show a positive impact of the subnational share of total government expenditure in social protection on economic performance. This finding is robust to the inclusion of additional explanatory variables in the analysis and is not driven by any specific country.

Keywords: decentralization; social protection expenditure; economic growth; OECD countries (search for similar items in EconPapers)
Date: 2009-05-25, Revised 2009-11-03
New Economics Papers: this item is included in nep-fdg
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Citations: View citations in EconPapers (3)

Published in Publius 41(1), January 2011: 146-157

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