Jennie I. Litvack - Rethinking Decentralization in Developing Countries (Sector Studies Series)

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title	:	Rethinking Decentralization in Developing Countries Sector Studies Series
author	:	Litvack, Jennie I.; Ahmad, Junaid; Bird, Richard Miller
publisher	:	World Bank
isbn10 | asin	:	0821343505
print isbn13	:	9780821343500
ebook isbn13	:	9780585261089
language	:	English
subject	Decentralization in government--Developing countries, Intergovernmental fiscal relations--Developing countries, Developing countries--Politics and government.
publication date	:	1998
lcc	:	JF60.L58 1998eb
ddc	:	352.2/83/091724
subject	:	Decentralization in government--Developing countries, Intergovernmental fiscal relations--Developing countries, Developing countries--Politics and government.

Page i Rethinking Decentralization in Developing Countries SECTOR STUDIES SERIES JENNIE LITVACK JUNAID AHMAD RICHARD BIRD THE WORLD BANK WASHINGTON, D.C.

Page ii Copyright 1998 The International Bank for Reconstruction and Development / THE WORLD BANK 1818 H Street, N.W. Washington, D.C. 20433, U.S.A. All rights reserved Manufactured in the United States of America First printing September 1998 The findings, interpretations, and conclusions expressed in this paper are entirely those of the authors and should not be attributed in any manner to the World Bank, to its affiliated organizations, or to members of its Board of Executive Directors or the countries they represent. The World Bank does not guarantee the accuracy of the data included in this publication and accepts no responsibility for any consequence of their use. The boundaries, colors, denominations, and other information shown on any map in this volume do not imply on the part of the World Bank Group any judgment on the legal status of any territory or the endorsement or acceptance of such boundaries. The material in this publication is copyrighted. Requests for permission to reproduce portions of it should be sent to the Office of the Publisher at the address shown in the copyright notice above. The World Bank encourages dissemination of its work and will normally give permission promptly and, when the reproduction is for noncommercial purposes, without asking a fee. Permission to copy portions for classroom use is granted through the Copyright Clearance Center, Inc., Suite 910, 222 Rosewood Drive, Danvers, Massachusetts 01923, U.S.A. Jennie Litvack is senior economist, Public Sector Group, Poverty Reduction and Economic Management, The World Bank. Junaid Ahmad is the Bank's deputy resident representative, South Africa Resident Mission. Richard Bird is professor of economics, University of Toronto. ISBN 0-8213-4350-5 Library of Congress Cataloging-in-Publication Data (CIP) has been requested.

Page iii Contents Foreword v Abstract vii 1. Why Should We Worry about Decentralization? 1 2. Decentralization: A Complex Phenomenon 4 Why Is Decentralization Happening? 4 What Is Decentralization? 4 What Are the Implications of Decentralization? 6 Successful Decentralization Depends on Institution-Specific Design 7 3. Designing Decentralization: The Building Blocks of Fiscal Federalism 10 Assigning Expenditure Responsibilities 10 Raising Revenue 11 Overseeing Subnational Borrowing 12 Designing Intergovernmental Transfers 12 Assembling the Building Blocks: A Systems Approach 13 4. Designing Decentralization: Incorporating Institutions 16 Adjusting the Regulatory Framework and Decentralizing Borrowing 16 Organizing Service Delivery 20

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