# kaal:claim:3782192-003

**Claim.** Centralization is an optimal and natural evolutionary solution to most specific organizational problems, but only under static conditions, and competition is the most common driving force that produces a centralized structure.

**Type.** condition  **Support.** argued

**Holds when.**

- static environmental conditions
- a specific, well defined organizational problem

**Source quote.**

> Centralization is an optimal and natural evolutionary solution to most specific organizational problems, under static conditions. Competition is the most common driving force that leads to a centralized structure.

**From.** Craig Calcaterra, Wulf A. Kaal, *Introduction to Decentralization* (2021), Basic idea, page 6

**Cite as.** Craig Calcaterra, Wulf A. Kaal, Introduction to Decentralization (2021). SSRN: https://ssrn.com/abstract=3782192

**Verify.** sha256 of source PDF `e7eafd56cb8a8bd15b64cf58216bb655f939bdcc296387e362fd9191976d67ae` at https://raw.githubusercontent.com/wulfkaal/Academic-Papers/main/papers/pdf/Calcaterra%20and%20Kaal%20-%202021%20-%20Introduction%20to%20Decentralization.pdf

**Topics.** decentralization, economics

**Keywords.** centralization, efficiency, static-conditions, competition

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