WIDER Angle: Fiscal states in developing economies: Why do they matter and where do they come from?

Description

Modern states are complex organizations which perform a broad range of functions. They have an important role in economic and human development. The consensus from recent research suggests that effective states provide crucial public goods and services, such as universal education, public health systems, and an effective administration of justice.

But how do we finance state activities? Understanding this requires a study of the process of transformation of public finance institutions. This is a fundamental part of how effective states are created.