Evaluating Fiscal Decentralization in Peru
(2011) NEKM01 20101Department of Economics
- Abstract (Swedish)
- This thesis aims to evaluate how the 2002 reform of the decentralization has changed Peru. The evaluation is focused on the fiscal decentralization, especially the tax collection of subnational governments. By identifying the obstacles of the Peruvian process we hope to be able prescribe how to minimize demerits, and optimize merits of decentralization. Our conclusions are that the current decentralization process has stable support both from the ruling parties and residents of Peru. The setbacks in the process are mainly due to Peru’s heterogeneous nature and the large inequalities among regions and individuals in the country. There are also large incapacities on the subnational level to handle greater responsibilities. To optimize the... (More)
- This thesis aims to evaluate how the 2002 reform of the decentralization has changed Peru. The evaluation is focused on the fiscal decentralization, especially the tax collection of subnational governments. By identifying the obstacles of the Peruvian process we hope to be able prescribe how to minimize demerits, and optimize merits of decentralization. Our conclusions are that the current decentralization process has stable support both from the ruling parties and residents of Peru. The setbacks in the process are mainly due to Peru’s heterogeneous nature and the large inequalities among regions and individuals in the country. There are also large incapacities on the subnational level to handle greater responsibilities. To optimize the merits of decentralization, the Peruvian government needs to make great efforts to reduce these incapacities and to ensure a more equal distribution of the country’s wealth. They must also carefully tend to the challenge of increasing the subnational independence while keeping the national unity intact. (Less)
Please use this url to cite or link to this publication:
http://lup.lub.lu.se/student-papers/record/1787440
- author
- Glimeus, Linn LU and Bustad, Erik LU
- supervisor
-
- Yves Bourdet LU
- Åsa Hansson LU
- organization
- course
- NEKM01 20101
- year
- 2011
- type
- H1 - Master's Degree (One Year)
- subject
- keywords
- Tax Policy, Peru, Decentralization, Fiscal Decentralization
- language
- English
- id
- 1787440
- date added to LUP
- 2011-02-17 08:45:43
- date last changed
- 2011-02-17 08:45:43
@misc{1787440, abstract = {{This thesis aims to evaluate how the 2002 reform of the decentralization has changed Peru. The evaluation is focused on the fiscal decentralization, especially the tax collection of subnational governments. By identifying the obstacles of the Peruvian process we hope to be able prescribe how to minimize demerits, and optimize merits of decentralization. Our conclusions are that the current decentralization process has stable support both from the ruling parties and residents of Peru. The setbacks in the process are mainly due to Peru’s heterogeneous nature and the large inequalities among regions and individuals in the country. There are also large incapacities on the subnational level to handle greater responsibilities. To optimize the merits of decentralization, the Peruvian government needs to make great efforts to reduce these incapacities and to ensure a more equal distribution of the country’s wealth. They must also carefully tend to the challenge of increasing the subnational independence while keeping the national unity intact.}}, author = {{Glimeus, Linn and Bustad, Erik}}, language = {{eng}}, note = {{Student Paper}}, title = {{Evaluating Fiscal Decentralization in Peru}}, year = {{2011}}, }