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The Effects of Fiscal Decentralization on Income Inequality

Thesis advisor: Robert G. Murphy / This paper seeks to further establish the effects of fiscal decentralization on income inequality. While many major world organizations, such as the United Nations, and politicians are promoting the use of decentralization policies, their effects on income inequality remain largely unstudied. I add to the literature on fiscal decentralization in order to determine if it should be used as a policy tool designed to decrease income inequality. I empirically study the effects of fiscal decentralization by using a model largely based off of Akai and Sakata (2005). I quantify fiscal decentralization with two measures in order to conclude what form of fiscal decentralization, if any, should be used in order to decrease income inequality. My hope is that this paper contributes to the literature on fiscal decentralization, specifically in providing caution to politicians who haphazardly institute policies calling for increased fiscal decentralization. / Thesis (BA) — Boston College, 2007. / Submitted to: Boston College. College of Arts and Sciences. / Discipline: Economics. / Discipline: College Honors Program.

Identiferoai:union.ndltd.org:BOSTON/oai:dlib.bc.edu:bc-ir_102065
Date January 2007
CreatorsTyler, Nikki
PublisherBoston College
Source SetsBoston College
LanguageEnglish
Detected LanguageEnglish
TypeText, thesis
Formatelectronic, application/pdf
RightsCopyright is held by the author, with all rights reserved, unless otherwise noted.

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