The Effect of Capability and Effectiveness of Local Governments on the Administration of Decentralization Policy

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Abstract

Nowadays, there is an increasing tendency towards decentralization around the world. Because, it is supposed that decentralization policy is one of the ways most countries adopt to improve public sector performance. It is expected that, the policy leads to better social welfare, economic efficiency and ultimately economic growth. Because the local governments are closer to people living in the region and better recognize their people's tastes. This paper is a basic research and uses an analytical method. Using a mathematical framework, the paper explains the central and local governments' recognition of people's tastes. So, comparing their recognition function, the paper will consider the devolution of power to local governments. Thus, on the basis of capability and effectiveness of local governments, the paper tries to analyze the suitability of the devolution of power to local governments. The results show that the level of democracy, skilled human resources and information about people's needs, among other factors, play a crucial role in the recognition of priorities.

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References

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Journal of Iranian Economic Issues
Volume 4, Issue 2
January 2018
Pages 73-99

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History

  • Receive Date: 07 October 2017
  • Revise Date: 26 December 2017
  • Accept Date: 22 January 2018

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