Fiscal decentralization and economic growth in Peruvian regional governments, 2007 – 2018

Abstract

Aim of this paper is determine whether fiscal decentralization has generated economic growth in regional development of the Peruvian Economy, since decentralization process started; for that purpose, has been applied a data panel econometric model related to Regional Government as aggregate data. It’s been found a positive relationship between both variables with some emphasis in short term, being significant current and capital expenditure and cash transfers.