Reasons for Inter-municipal Cooperation: A Comparative Analysis of Finland, Iceland and Norway

Abstract

The broad responsibilities of Nordic local governments may explain why inter-municipal cooperation (IMC) is rather frequent among Nordic municipalities. This is, however, not a sufficient explanation for the variance in institutional features we find in the Nordic countries. Hence, we develop a more comprehensive model in the chapter, asking to what extent legislative features and the characteristics of local government systems may explain the variation in IMC. The empirical part of the chapter describes IMC in a number of policy areas, and considerable differences emerge. Although we note that the profile of IMC use in different sectors varies among the three countries, these differences are not caused by variations in fragmentation and decentralization. In light of the evidence, legal and constitutional explanations seem more pertinent.