Unequal development : decentralization and fiscal disparities in the Metropolitan Zone of the Valley of Mexico

Thesis (Ph. D.)--Massachusetts Institute of Technology, Dept. of Urban Studies and Planning, 2006.

Bibliographic Details
Main Author: Raich, Uri
Other Authors: Diane E. Davis.
Format: Thesis
Language:eng
Published: Massachusetts Institute of Technology 2007
Subjects:
Online Access:http://dspace.mit.edu/handle/1721.1/34407
http://hdl.handle.net/1721.1/34407
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author Raich, Uri
author2 Diane E. Davis.
author_facet Diane E. Davis.
Raich, Uri
author_sort Raich, Uri
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description Thesis (Ph. D.)--Massachusetts Institute of Technology, Dept. of Urban Studies and Planning, 2006.
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spelling mit-1721.1/344072019-04-10T22:21:19Z Unequal development : decentralization and fiscal disparities in the Metropolitan Zone of the Valley of Mexico Decentralization and fiscal disparities in the Metropolitan Zone of the Valley of Mexico Raich, Uri Diane E. Davis. Massachusetts Institute of Technology. Dept. of Urban Studies and Planning. Massachusetts Institute of Technology. Dept. of Urban Studies and Planning. Urban Studies and Planning. Thesis (Ph. D.)--Massachusetts Institute of Technology, Dept. of Urban Studies and Planning, 2006. Page 264 blank. Includes bibliographical references (p. 247-255). This study is about the impact of decentralization in metropolitan areas. Studies of fiscal decentralization have largely centered on the formal tiers of government, without looking at the effects of this process on the recipient jurisdictions in metropolitan areas. This is an important omission, considering that more than 50 percent of the world's population lives in urban areas that often extend beyond formal jurisdictional boundaries. As a response, in this study I incorporate the metropolitan dimension into the study of fiscal decentralization. After integrating a database with information on the public finances of the Metropolitan Zone of the Valley of Mexico (ZMVM), I test the hypothesis that the policies of fiscal decentralization in Mexico have exacerbated the level of fiscal disparity in this metropolitan area. My results show that fiscal disparity in the ZMVM increased during the 1990s. Fiscal decentralization had two different and opposite effects on fiscal disparities in the ZMVM. On one hand, fiscal decentralization mitigated fiscal disparities through the use of a system of redistributive transfers. On the other, and in contrast to this equalizing effect, decentralization has exacerbated the level of fiscal disparity by accentuating the differences of the jurisdictions' expenditure needs and their capacity to collect local taxes. (cont.) In particular, this research shows that despite state intervention through a system of redistributive transfers, the increase in fiscal disparities was due to three primary factors: the indirect effect of transfers on local fiscal effort, the uneven distribution of services and infrastructure in the metropolitan space, and differing governance structures in the ZMVM's jurisdictions. Due to the negative effects of fiscal disparities on urban segregation and poverty, I recommend two policy alternatives to mitigate fiscal fragmentation in the ZMVM: the creation of a metropolitan fund and the formation of a special authority for the transportation sector. by Uri Raich. Ph.D. 2007-11-15T19:49:03Z 2007-11-15T19:49:03Z 2006 2006 Thesis http://dspace.mit.edu/handle/1721.1/34407 http://hdl.handle.net/1721.1/34407 70252975 eng M.I.T. theses are protected by copyright. They may be viewed from this source for any purpose, but reproduction or distribution in any format is prohibited without written permission. See provided URL for inquiries about permission. http://dspace.mit.edu/handle/1721.1/34407 http://dspace.mit.edu/handle/1721.1/7582 264 p. application/pdf n-mx--- Massachusetts Institute of Technology
spellingShingle Urban Studies and Planning.
Raich, Uri
Unequal development : decentralization and fiscal disparities in the Metropolitan Zone of the Valley of Mexico
title Unequal development : decentralization and fiscal disparities in the Metropolitan Zone of the Valley of Mexico
title_full Unequal development : decentralization and fiscal disparities in the Metropolitan Zone of the Valley of Mexico
title_fullStr Unequal development : decentralization and fiscal disparities in the Metropolitan Zone of the Valley of Mexico
title_full_unstemmed Unequal development : decentralization and fiscal disparities in the Metropolitan Zone of the Valley of Mexico
title_short Unequal development : decentralization and fiscal disparities in the Metropolitan Zone of the Valley of Mexico
title_sort unequal development decentralization and fiscal disparities in the metropolitan zone of the valley of mexico
topic Urban Studies and Planning.
url http://dspace.mit.edu/handle/1721.1/34407
http://hdl.handle.net/1721.1/34407
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