Journal on Policy and Complex Systems
nance is significantly positive . The second conclusion is that in most metropolitan regions , municipal merger for tax purposes would be beneficial . The effect , however , is not homogeneous and would have to be verified on a case-by-case basis . In some metropolitan regions , the gain of the merger is so relevant that it would be sufficient to compensate for the hypothesis of absence of the MPF .
In feasible terms , Constitutional Amendment number 15 of 1996 supports the possibility of municipal mergers , subject to consultation with the populations concerned .
Finally , it should be noted that federalism with a municipal emphasis given by the Federal Constitution of 1988 might be advantageous for many Brazilian municipalities , spread over a continental country . Its excessive fragmentation , in the metropolitan scope in particular , however , seems to be more detrimental than beneficial . We hope that the indicatives presented in this paper contribute to the accumulation of evidence for better management and governance of urban space and its economic implications for the Brazilian case .
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