Publication:
Fiscal decentralization and big cities financing in Brazil

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eng

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Brasil

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BR

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dARK

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Instituto de Pesquisa Econômica Aplicada (Ipea)

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Reproduction of this text and the data it contains is allowed as long as the source is cited. Reproductions for commercial purposes are prohibited.

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Discussion Paper 80 : Fiscal decentralization and big cities financing in Brazil, A descentralização fiscal e o financiamento das grandes cidades no Brasil

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Abstract

Discute a situação financeira das cidades grandes brasileiras que têm muitas necessidades mas dispõem de poucos recursos. Estas cidades possuem uma grande dependência do estado e dos governos federais em comparação às cidades pequenas e médias quanto à provisão de serviços urbanos e sociais. Esta dependência significa mais submissão às alianças políticas e pouco espaço no controle social sobre o gasto público.

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Brazilian big cities have high needs but dispose of low means. This situation leads to a paradox: a higher dependence on the state and federal governments as compared with middle size and smaller cities with respect to the provision of urban and social services. Higher dependence means more submission to political alliances and less room for an effective social control on public spending. This paper explores some aspects of this particular situation, its main causes, and possible solutions.

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