By Katharina Mewes
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Extra resources for Decentralization on the Example of the Yemeni Water Sector: Did Decentralization from 2000 to 2009 Improve the Urban Water Supply and Sanitation in Yemen?
As local governments' finances often consist of taxes and fees, the income of the local population affects the financia1 situation of the govemment as weIl as its ability to cover the cost of its services. Therefore local inequa1ities might lead to performance inequalities between different loea1governments. Further, it is assumed that, in contrast to a centralized system, a decentralized system is better able to take loca1 preferences into consideration. According to the theory of public choice, this results in numerous decentralized communities, which offer different varieties of public goods from which the individual ean choose due to geographieal mobility (Tiebout 1977, cited in Bünte 2003: 29).
Eeonomists therefore follow a reduced terminology of norms that states that a non-empirie preeondition independent of time and Iocation is the basis of the research question. The background of this statement is then not further reviewed The concept of homo oeconomicus has first been used by critics of [ohn Stuart Mill's work (1836) on political economy. " Thus, the concept is based on the assumption that human beings act to obtain the highest possible well-being for himself given available information for opportunities and other constraints on his ability to achieve his predetermined goals.
However, this section only illustrates the relevance of decentralization; therefore, the timeframe starts with the 1950s. Since the 1950s, the question about which public services should be performed on which state level and what kind of political legitimization the concemed state level requires has been discussed within the political debate about development aid. Thus, decentralization has been considered as a means to enhance administrative efficiency, democratic participation, and territorial and social equality (Bünte 2003: 20).
Decentralization on the Example of the Yemeni Water Sector: Did Decentralization from 2000 to 2009 Improve the Urban Water Supply and Sanitation in Yemen? by Katharina Mewes