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Quality of Government and Decentralization in Romania

The article explores the effects of the decentralization process in Romania as part of the public administration reform, using a set of financial indicators revealing the territorial distribution of the capacity of local public administration to provide public services. These indicators are then correlated with quality of government and government effectiveness indexes at national level. As a result, the analysis reflects a territorial variation of financial independence of administrative units that can be explained by assuming the differences in the institutional set-up of different communities at local level. These results were used further to formulate a perspective on the decentralization process in Romania based on the assumption of non-homogeneity of socio-economic development of different regions in Romania.