Fiscal Decentralization and Efficiency of Regional Government in Croatia: A Data Envelopment Analysis

  • Sabina Hodžić University of Rijeka, Faculty of Tourism and Hospitality Management
  • Adis Muharemović University of Bihać, Faculty of Economics
Keywords: fiscal decentralization;, local and regional government, counties, data envelopment analysis, Croatia


To determine the efficiency of regional and local government public functions, the most used method in the empirical analysis is data envelopment analysis. This paper reviews 20 counties as part of regional government units in Croatia as well as the relationship between efficiency scores and exogenous determinants in the 2009-2016 period. The results of our analysis show that, among exogenous determinants, only the annual registered unemployed rate and annual average wage for full time jobs are statistically significant.


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