Abstract
The chapter by Professors Tajika and Yui provides a very nice overview of the system of local government finances in Japan, and offers a number of sensible suggestions on how to improve intergovernmental finances. Their careful documentation of the growing role of local governments underscores the importance of reform, both on efficiency grounds and to help address Japan’s long-term fiscal challenges. In my comments, I would like to touch on both issues, starting with the main principles which should guide reforms of intergovernmental fiscal relations, drawing on the international experience.
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Citrin, D., Hayashi, M. (2006). Comments on “Fiscal Decentralization in Japan: Does it Harden the Budgets of Local Governments?”. In: Kaizuka, K., Krueger, A.O. (eds) Tackling Japan’s Fiscal Challenges. Procyclicality of Financial Systems in Asia. Palgrave Macmillan, London. https://doi.org/10.1057/9781137001566_8
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DOI: https://doi.org/10.1057/9781137001566_8
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