Development Centre Seminars

OECD Development Centre

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This series of publications presents the proceedings of conferences and seminars on various development issues held by the OECD Development Centre, often in co-operation with other organisations.
Also available in French
Democracy, Decentralisation and Deficits in Latin America

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OECD Development Centre

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09 Mar 1998
9789264162501 (PDF) ;9789264160606(print)

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What is the impact of political decentralisation in Latin America? This book considers the problems raised by political decentralisation in the region and identifies the challenges ahead. Political decentralisation tends to devolve a certain amount of financial responsibility to the sub-national levels of government, hence potentially destabilising centrally established fiscal and budgetary targets. The question is, thus, a particularly timely one which seeks to reconcile enhanced democratisation with the fiscal rigour demanded by the international marketplace.
This book brings together papers presented at the eighth annual meeting of the "International Forum on Latin American Perspectives", sponsored jointly by the OECD Development Centre and the Inter-American Development Bank. The analyses of economic experts are confronted with the real-life experiences of practitioners from a number of Latin American countries, providing the reader with a stimulating exposé of the risks and benefits to economic development of the new decentralising trend. Of particular interest are the so-called "ten commandments" suggested by Ricardo Hausmann as a set of rules which should govern fiscal management in decentralised democracies. Discussion of these and other propositions makes for a lively, yet soundly based contribution to this very important debate.

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Table of Contents

-Preface by Jean Bonvin and Enrique V. Eglesias
-Opening Remarks by Jean Bonvin
Part 1. Democracy, Decentralisation, and Fiscal Performance
Fiscal Institutions for Decentralising Democracies: Which Way to Go? by Ricardo Hausmann
-Fiscal Performance in Latin America: What Needs to be Explained? by Michael Gavin and Ricardo Hausmann
-Electoral Institutions and the Budget Process by Mark Hallerberg and Jurgen von Hagen
-Fiscal Decentralisation and Government Size in Latin America by Ernesto Stein
-Fiscal Decentralisation and Macroeconomic Stability: The Experience of Large Developing and Transition Economies by Kiichiro Fukasaku and Luiz R. de Mello, Jr.
-Fiscal Federalism in OECD Member Countries by Jon Blondal
Part 2. Practitioners' Views
Argentina by Andrew Powell
-Brazil by Marcelo Piancastelli de Siqueira
-Chile by Carlos Ominami
-Columbia by Rudolf Hommes
-Germany by Harald Rehm
-Mexico by Ariel Buira
-Portugal by Jorge Braga de Macedo
-Bolivia by Gonzalo Sanchez de Losada

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