Politics & Government
How Intergovernmental Grants Create Dependency Dynamics in Multilevel Governance
Quick fact
In many countries, subnational governments receive more than 50% of their revenue from higher-level governments, creating a deep financial dependence that can shift policy priorities toward matching central preferences.
Why this is interesting
Imagine a city that can fund its own schools but not its own police. Now imagine that the money to fund the police comes from the national government—and with it, a list of rules. What happens to the city's decisions?