İÇİNDEKİLER
Contents
Preface 5
Acknowledgements 9
Chapter 1
CENTRAL–LOCAL FISCAL RELATIONS IN TURKEY:
A TECHNICAL ANALYSIS OF FISCAL EQUALIZATION
1. Introduction 15
2. The Importance of Fiscal Equalization 15
3. The Objective of the Study 19
4. The Model in Use 22
5. Sample Coverage 25
6. Results and Findings 29
7. Concluding Remarks 33
Chapter 2
DETERMINANTS OF THE DISTRIBUTION OF THE CENTRAL GOVERNMENT BUDGETARY GRANTS IN TURKEY
1. Introduction 35
2. Explaining Intergovernmental Grants 36
2.1. Efficiency and Equalization Model (EEM) 37
2.2. The Public Choice Approach (PCA) 37
3. The Political Economic Model of Grants to Local Governments 39
4. Econometric Issues and Data 47
5. Estimation Results in the Turkish Case 49
6. Conclusions 52
Chapter 3
AN ECONOMETRIC ANALYSIS OF LOCAL FISCAL RESPONSE TO REVENUE SHARING IN TURKEY
1. The Importance of Analyzing Local Fiscal Response 55
2. Local Revenue Response to Revenue Sharing 56
2.1 Methods for Examining Revenue Effort 57
2.2 The Findings on Revenue Effort 59
3. Local Expenditure Response to Revenue Sharing 65
3.1. The Impact of Revenue Sharing on Local Expenditures (Cross–Section Analysis) 65
3.2. The Impact of Revenue Sharing on Local Expenditures (Time–Series and Panel Data Analyses) 69
4. Summary and Concluding Remarks 77
Chapter 4
EFFECTS OF GRANTS FROM CENTRAL GOVERNMENT BUDGET: THE CASE OF TURKISH MUNICIPALITIES
1. Introduction 79
2. An Analysis of Municipal Expenditure in Turkey 80
3. Econometric Specification 86
3.1. Dynamic Panel Estimation 86
3.2. Measurement of Variables and Data Sources 90
4. Estimates of the Simple Dynamic Model 91
5. The Error Correction Mechanism 97
6. Conclusions 100
Chapter 5
THE IMPACT OF TAX APPORTIONMENT ON FISCAL EQUALIZATION: A CASE STUDY OF TURKISH METROPOLITAN MUNICIPALITIES
1. Introduction 103
2. Theory of Fiscal Equalization and Tax Apportionment 104
2.1. To Correct Vertical Fiscal Imbalance 104
2.2. To Correct Horizontal Fiscal Imbalance 105
3. Empirical Study 109
4. General Remarks and Conclusion 115
Chapter 6
DOES FLYPAPER EFFECT EXIST? NEW EVIDENCE FROM TURKİSH MUNICIPALITIES
1. Introduction 119
1.1. Fiscal Illusion 120
1.2. The Bureaucratic Model 120
2. Literature Review 121
3. Local Governments in Turkey 123
3.1. Revenues 124
3.2. Central Government Transfers 125
4. Data, Model Specification and Estimation 125
5. Conclusion 133
Chapter 7
INTERGOVERNMENTAL TRANSFERS AND THE FLYPAPER EFFECT IN TURKEY
1. Theoretical and Empirical Studies on the Flypaper Effect 135
2. Model 137
3. The Findings and Results 140
4. Concluding Remarks 145
Chapter 8
THE SURGE IMPACT OF THE FLYPAPER AND STIMULATION/SUBSTITUTION EFFECTS ON LOCAL TAX EFFORT IN TURKEY
1. Introduction 147
2. Theoretical Background 148
3. Model 149
4. The Findings and Results 151
5. Concluding Remarks 154
Chapter 9
FISCAL DECENTRALISATION, THE SIZE OF THE PUBLIC SECTOR, AND ECONOMIC GROWTH IN TURKEY
1. Introduction 155
2. The Turkish Experience of Fiscal Decentralisation 155
3. Fiscal Decentralisation and the Size of The Public Sector 157
4. An Economic Analysis of The Relationship Between Fiscal Decentralisation and the Size of The Public Sector 159
4.1. Model 159
4.2. Data, Sources, and Features of the Series 161
4.3. Testing the Leviathan Hypothesis: Empirical Findings 163
5. An Empirical Analysis of the Relationship Between Fiscal Decentralisation and Economic Growth 169
5.1. Cross–Section Data Analysis: Model and Findings 170
5.2. Time–Series Data Analysis: Model and Findings 170
6. Concluding Remarks 175
References 179
About the Authors 199 |