Abstract
Local government reorganization has been almost ubiquitous in developed countries in the last decades. Local authorities have been restructured, the relationships between central and local government have been reshaped, and new local government acts have been passed in a number of countries. Basically, this is a response to the expansion of governmental intervention in the society. The ideological premises underlying these processes are complex and manifold. Partly, they refer to the traditional values of local self-government, with an accent on autonomy, participation, and efficiency. Partly, they refer to fundamental requirements of central steering in the contemporary state: rule of law, geographical redistribution, and macroeconomic steering. This variegated set of values and requirements has to be given space in the local government institution. This is why the process of reorganization cannot be subsumed under a dichotomy of centralization and decentralization. Local government in advanced democracies is too complex to be accommodated by such a simple formula, requiring a redefinition of its role in society.
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