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Autoren: 
Baskaran, Thushyanthan
Feld, Lars P.
Necker, Sarah
Datum: 
2017
Schriftenreihe/Nr.: 
Freiburger Diskussionspapiere zur Ordnungsökonomik No. 17/01
Zusammenfassung: 
Most countries pay substantial intergovernmental transfers to poor regions with the aim of achieving regional convergence. Consequently, transfers should have a positive effect on economic growth. However, it is equally possible that transfers perpetuate under-development. This paper studies empirically the effect of intergovernmental transfers on economic growth with a panel of West German states over the period 1975-2005. The findings suggest that transfers do not foster economic growth, presumably because the recipients use them to subsidize declining industries.
Schlagwörter: 
intergovernmental transfers
economic growth
fiscal federalism
JEL: 
H70
H73
H77
Dokumentart: 
Working Paper

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