財政分權化 政策의 政府部門 規模에 대한 影響評價研究

CAN DECENTRALIZATION POLICY CONSTRAIN THE LEVIATHAN? A TIME SERIES STUDY OF FISCAL DECENTRALIZATION IN THE REPUBLIC OF KOREA, 1960-1990

The aim of this research is to investigate the influence of fiscal decentralization policy on the size of government in Korea. The empirical work was based on the theoretical work in the area. The regression equations were estimated by the Ordinary Least Squares technique, which allowed for autocorrelation among the explanation variables. The lagged dependent and lagged in dependent variables were employed for the explanation of dynamic impacts. The empirical results of the study seem not to support the theoretical work of Brennan and Buchanan's Leviathan hypothesis. Rather, the results support the theoretical work of conventional camp. It was found that fiscal and composite decentralization level were significantly and positively reated to size of public sector in Korea.