Template-Type: ReDIF-Paper 1.0 Author-Name: Floriana Cerniglia; Riccarda Longaretti; Alberto Zanardi Author-Email: floriana.cerniglia@unicatt.it; riccarda.longaretti@unimib.it; alberto.zanardi@upbilancio.it Title: The Emergence of Asymmetric Decentralization: Centrifugal and Centripetal Forces Abstract: This paper provides a simple analytical framework to explain the emergence of asymmetric decentralization as a possible institutional solution in multi-level governance. In particular, we conclude that, under certain circumstances, asymmetric decentralization, by granting some regions stronger fiscal autonomy and preserving at the same time interregional equalization, may provide a Pareto-improving solution regarding both centralization and secession. Keywords: Asymmetric Decentralization, Economies of Scale, Interregional Equalization. Classification-JEL: H4, H7 Creation-Date: 2020 File-URL: https://centridiricerca.unicatt.it/cranec-Cerniglia-Longaretti-Zanardi_The_emergence.pdf File-Format: Application/PDF Number: crn2001 Handle: RePEc:crn:wpaper:crn2001