Do regions with more competences perform better than others? Are countries with a higher degree of decentralisation economically more successful than centrally governed countries? BAKBASEL conducted the study “From Subsidiarity to Success: The Impact of Decentralisation on Economic Growth”, commissioned by the Assembly of European Regions (AER) in 2007-2009. The study links the degree of autonomy of a region, or the degree of decentralisation within a country and its economic development. The empirical analysis shows that decentralisation has a significantly positive impact on the economic performance of countries and regions: in most aspects a higher level of decentralisation is linked to stronger economic growth.
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