“Small Is Beautiful”: Pros and Cons of Territorial Fragmentation on the Example of the Czech Republic

Authors

NEMEC Juraj MATĚJOVÁ Lenka SOUKOPOVÁ Jana

Year of publication 2016
Type Chapter of a book
MU Faculty or unit

Faculty of Economics and Administration

Citation
Description This chapter discusses problem of territorial fragmentation and summarizes arguments for and against solution in form territorial consolidation on the example of the Czech Republic. The main reason for the consolidation of municipalities is the benefits derived from the theory of economies of scale. Linked to this is also the question of how to determine the optimal size of municipality in order to make best use of principles scale economies. The second part of this chapter shows the analysis of Czech municipal expenditure on selected public services that municipal provide, and base on the results determine the optimal size of municipality for analyzed services. Data from the Czech Republic do not clearly support economic arguments for territorial consolidation.
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