Editing Decentralization (section)

== Criticism ==
Factors hindering decentralization include weak local administrative or technical capacity, which may result in inefficient or ineffective services; inadequate financial resources available to perform new local responsibilities, especially in the start-up phase when they are most needed; or inequitable distribution of resources.<ref>{{cite book |last1=Litvack Ilene |first1=Jennie |last2=Seddon |first2=Jessica |title=Decentralization briefing notes |date=1999 |publisher=World Bank Institute |location=Washington, DC |url=http://scholar.googleusercontent.com/scholar?q=cache:ylLbdPSfTbkJ:scholar.google.com/+Decentralization+Briefing+Notes+-+World+Bank&hl=vi&as_sdt=0,5 |access-date=30 September 2022 |archive-date=30 September 2022 |archive-url=https://web.archive.org/web/20220930033228/http://scholar.googleusercontent.com/scholar?q=cache:ylLbdPSfTbkJ:scholar.google.com/+Decentralization+Briefing+Notes+-+World+Bank&hl=vi&as_sdt=0,5 |url-status=dead }}</ref> Decentralization can make national policy coordination too complex; it may allow local elites to capture functions; local cooperation may be undermined by any distrust between private and public sectors; decentralization may result in higher enforcement costs and conflict for resources if there is no higher level of authority.<ref name=FAOCH2>[http://www.fao.org/docrep/005/y4256e/y4256e05.htm Chapter 2. Decentralization and environmental issues] {{webarchive|url=https://web.archive.org/web/20130102152943/http://www.fao.org/docrep/005/y4256e/y4256e05.htm |date=2013-01-02 }}, "Environment in decentralized development", United Nations [[Food and Agriculture Organization]] ("FAO"), ''accessed February 23, 2013''; also see [http://www.fao.org/docs/up/easypol/346/en_decen_dec_making_016en.pdf Environment in Decentralized Decision Making, An Overview] {{webarchive|url=https://web.archive.org/web/20130529044604/http://www.fao.org/docs/up/easypol/346/en_decen_dec_making_016en.pdf |date=2013-05-29 }}, Agricultural Policy Support Service, Policy Assistance Division, FAO, Rome, Italy, November 2005.</ref> Additionally, decentralization may not be as efficient for standardized, routine, network-based services, as opposed to those that need more complicated inputs. If there is a loss of [[economies of scale]] in procurement of labor or resources, the expense of decentralization can rise, even as central governments lose control over financial resources.<ref name=Forms/>

It has been noted that while decentralization may increase "productive efficiency" it may undermine "allocative efficiency" by making redistribution of wealth more difficult. Decentralization will cause greater disparities between rich and poor regions, especially during times of crisis when the national government may not be able to help regions needing it.<ref>Summary of Remy Prud'homme, "[http://government.cce.cornell.edu/doc/summary.asp?id=prudhomme1995 The Dangers of Decentralization] {{webarchive|url=https://web.archive.org/web/20120616074803/http://government.cce.cornell.edu/doc/summary.asp?id=prudhomme1995 |date=2012-06-16 }}", [[World Bank]] Research Observer, 10(2):201, 1995, linked from [http://government.cce.cornell.edu/doc/viewpage_r.asp?ID=Decentralization Decentralization] {{webarchive|url=https://web.archive.org/web/20121026031204/http://government.cce.cornell.edu/doc/viewpage_r.asp?ID=Decentralization |date=2012-10-26 }}, article "Restructuring local government project" of Dr. Mildred Warner.</ref>