Decentralisation Theorem and its Impact on the Welfare of Local Public Administration

Local public administration from all European countries has as one of the most important principle the decentralisation mentioned by the fundamental law, sometimes. The researchers in local finances and local governments have defined this principle with different words. The aim of all local governments is the same: to rise local autonomy that implicates financial autonomy combined with good management based on productivity of public goods which allowed welfare of local public administration. Oates wrote the theorem of decentralisation that represents an important point of view applied in many countries in present with impact in the welfare of the local entities.