Regional Inequalities, Decentralisation and the Performance of Local Governments in Post-Communist Romania

The economic growth that has occurred in post-communist Romania has polarised society and greatly increased existing inequalities. The aim of this paper is to investigate regional disparities, to underline the role of governmental mechanisms in smoothing out territorial inequalities, and to examine the possible effects of regional economic disparities on the performance of regional administrations in delivering public services, in the light of the new regionalisation debate. The conclusion is that Romanian counties' institutional performance does not completely correlate with regional wealth; but regional disparities and the mechanisms used to smooth out inequalities have to be taken into account in the public debate concerning further decentralisation.