Abstract and Keywords
This article discusses federalism, and starts by introducing the classical approach to the study of federalism. It then reviews the influential normative approaches in economics during the 1970s and 1980s, as well as some of the empirical literatures that they spawned. The newer positive political economy literature and the resulting empirical work are reviewed also in the article. Finally, the reader is cautioned in drawing policy implications from the new literature as it stands.
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