Home  Journals  Financial Analytics: Science and Experience  11(293) - 2016 March

Fiscal and budgetary federalism: two systems for public financial management

Vol. 9, Iss. 11, MARCH 2016

Article PDF Version

Received: 3 September 2015

Received in revised form: 22 January 2016

Accepted: 16 February 2016

Available online: 27 March 2016

Subject Heading: SCHOLAR DISPUTE

JEL Classification: E62, H30, H77

Pages: 34-52

Importance The article investigates what is common and different between the concepts of fiscal federalism as circulated in the English domain and fiscal (budgetary) federalism accepted in the Russian literature.
     Objectives The research discloses essentials of fiscal federalism in the English context; reviews the substance of fiscal (budgetary) federalism used by the Russian scholars; conducts a comparative analysis of fiscal federalism and budgetary federalism, considering the institutional environment of global and Russian economies.
     Methods The contents of fiscal federalism forged by foreign scholars was analyzed by different areas. Fiscal (budgetary) federalism was analyzed on the basis of the Russian scholars' publications.
     Results The research shows the comparability of stances foreign and national scholars have on fiscal federalism and fiscal (budgetary) federalism respectively.
     Conclusions and Relevance In the Russian scientific milieu, fiscal (budgetary) federalism is understood as an individual case of the theory of fiscal federalism in the global scientific thought. In Russia, the public sector is narrowed to the state-financed sector, and relationships of governmental administration targets are regarded as relationships of the governmental levels within the multi-level budgetary system. The article is intended to contribute to translations on fiscal federalism and help to segregate such disputable concepts of fiscal federalism and budgetary federalism in the Russian scientific milieu as part of public financial management.

Keywords: fiscal federalism, budgetary federalism, multi-level management

References:

1. Abdulatipov R.G. Federalogiya [The science of federation]. St. Petersburg, Piter Publ., 2004, 320 p.
2. Baranova K.K. Byudzhetnyi federalizm i mestnoe samoupravleniye v Germanii [Budgetary federalism and local authorities in Germany]. Moscow, Delo i Servis Publ., 2000, 240 p.
3. Batkibekov S., Kadochnikov P., Lugovoi O., Trunin I. Otsenka nalogovogo potentsiala regionov i raspredelenie finansovoi pomoshchi iz federal'nogo byudzheta. V kn.: Sovershenstvovanie mezhbyudzhetnykh otnoshenii v Rossii [Assessment of the regions' taxable capacity and allocation of financial aid from the federal budget. In: Improvement of intergovernmental relationships in Russia]. Moscow, Gaidar Institute for Economic Policy Publ., 2000, 485 p.
4. Bogacheva O.V. Stanovlenie rossiiskoi modeli byudzhetnogo federalizma [Origination of the Russian model of budgetary federalism]. Voprosy Ekonomiki, 1995, no. 8, pp. 30–40.
5. Dobrynin N.M. Rossiiskii federalizm: genezis, evolyutsiya: izbrannye publikatsii [Russian federalism: genesis, evolution: selected publications]. Novosibirsk, Nauka Publ., 2008, 494 p.
6. Dobrynin N.M. Federalizm: istoriko-metodologicheskie aspekty [Federalism: historical and methodological aspects]. Novosibirsk, Nauka Publ., 2005, 368 p.
7. Efimova L.A., Makarova S.D., Malkina M.Yu. Teoreticheskie, metodologicheskie i prakticheskie aspekty byudzhetnogo federalizma v sisteme vzaimootnoshenii: federalnyi tsentr – sub''ekt Federatsii – munitsipalnoe obrazovanie: monografiya [Theoretical, methodological and practical aspects of budgetary federalism as part of the federal center – constituent entity of the Federation – municipality relations: a monograph]. Nizhny Novgorod, Lobachevsky State University of Nizhny Novgorod Publ., 2004, 314 p.
8. Ivanov V.V. Teoriya i praktika mezhbyudzhetnykh otnoshenii: monografiya [Theory and practice of intergovernmental relations: a monograph]. St. Petersburg, BAN, Nestor-Istoriya Publ., 2010, 265 p.
9. Igudin A.G. Stanovlenie i razvitie byudzhetnogo federalizma v Rossii [Origination and development of budgetary federalism in Russia]. Finansy = Finance, 1995, no. 4, pp. 3–7.
10. Kazakov V.V., Savinykh T.S. Osobennosti byudzhetnogo federalizma v Rossii [Specifics of budgetary federalism in Russia]. Vestnik Tomskogo gosudarstvennogo universiteta = Tomsk State University Journal, 2010, no. 334, pp. 110–113.
11. Klimanov V.V. Regional'noe razvitie i ekonomicheskaya samostoyatel'nost' sub''ektov Rossiiskoi Federatsii [Regional development and economic independence of the constituent entities of the Russian Federation]. Moscow, Editorial URSS Publ., 2000, 240 p.
12. Kotilko V.V., Gritsyuk T.V. Byudzhetnyi federalizm i balans interesov: sushchnost' i printsipy funktsionirovaniya [Fiscal federalism and the balance of interests: the substance and principles of its operation]. Gosudarstvennyi Sovetnik, 2014, no. 4, pp. 25–30. (In Russ.) Available at: Link.
13. Lavrov A.M. Byudzhetnyi federalizm i finansovaya stabilizatsiya [Fiscal federalism and financial stabilization]. Voprosy Ekonomiki, 1995, no. 8, pp. 21–29.
14. Leksin V.N., Shvetsov A.N. Gosudarstvo i regiony. Teoriya i praktika gosudarstvennogo regulirovaniya territorial'nogo razvitiya [The State and regions. Theory and practice of the State regulation of territorial development]. Moscow, URSS Publ., 2000, 368 p.
15. Lyubimtsev Yu. Prioritety sovershenstvovaniya mezhbyudzhetnykh otnoshenii [Priorities of improving the interdepartmental relations]. Ekonomist = Economist, 2000, no. 6, pp. 21–33.
16. Mezhdunarodnyi opyt v oblasti upravleniya obshchestvennymi finansami na subnatsional'nom urovne (obobshchennyi i adaptirovannyi k rossiiskim usloviyam) [International experience in public financial management at the subnational level (summarized and adapted to the Russian conditions)]. Moscow, LENAND Publ., 2007, 440 p.
17. Peshina E.V., Strekalova A.A. Mestnoe upravlenie v evolyutsii zarubezhnykh kontseptsii, teorii, modelei federalizma: finansovyi aspekt [Local administration in the evolution of foreign concepts, theories, models of federalism: financial perspectives]. Upravlenets, 2014, no. 2, pp. 4–19.
18. Ptitsyn V.I. Byudzhetnyi federalizm i sovershenstvovanie mezhbyudzhetnykh otnoshenii [Budgetary federalism and improving the intergovernmental relations]. Finansy = Finance, 1996, no. 9, pp. 7–11.
19. Boitush O.A., Kazak A.Yu. et al. Raspredelenie finansovoi pomoshchi v sisteme mezhbyudzhetnykh otnoshenii Rossii [Distribution of financial aid as part of intergovernmental relations in Russia]. Yekaterinburg, AMB Publ., 2003, 164 p.
20. Rodionova V.M. Byudzhetnaya reforma: soderzhanie i problemy [The budgetary reform: the substance and issues]. Finansy = Finance, 1994, no. 8, pp. 3–15.
21. Rodionova V.M. Sovremennye trebovaniya k byudzhetnomu federalizmu [Contemporary requirements to budgetary federalism]. Finansy = Finance, 1998, no. 7, pp. 8–11.
22. Valentei S.D. et al. Rossiiskii federalizm. Ekonomiko-pravovye problemy [Russian federalism. Economic and legislative issues]. St. Petersburg, Aleteiya Publ., 2008, 320 p.
23. Sadygov F.K. Metodologicheskie aspekty formirovaniya mezhbyudzhetnykh otnoshenii v rynochnoi Rossii [Methodological aspects of forming intergovernmental relationships in the Russian market economy]. Rossiiskoe predprinimatel'stvo = Russian Journal of Entrepreneurship, 2002, no. 12, pp. 63–68.
24. Tatarkin A.I., Pykhova I.A., Shelomentsev A.G. Byudzhetnyi federalizm i ego rol' v formirovanii i razvitii sistemy mezhbyudzhetnykh otnoshenii [Budgetary federalism and its role in the formation and development of the system of intergovernmental relationships]. Yekaterinburg, Institute of Economics, Ural Branch of RAS Publ., 2002, 189 p.
25. Model' B.S. Federalizm i detsentralizatsiya [Federalism and decentralization]. Yekaterinburg, Ural Branch of RAS Publ., 1998, 416 p.
26. Khodorovich M.I. Problemy fiskal'nogo federalizma v RF [Issues of fiscal federalism in the Russian Federation]. Finansy = Finance, 1992, no. 2, pp. 12–21.
27. Ahmad E., Brosio G. Handbook of Fiscal Federalism. Northampton, MA, Edward Elgar, 2006, 305 р.
28. Bird R., Dafflon B., Jeanrenaud C., Kirchgässner G. Assignment of Responsibilities and Fiscal Federalism. Politorbis, 2003, no. 32, pp. 58–78.
29. Glover E. Decentralization 133 Success Secrets – 133 Most Asked Questions on Decentralization – What You Need To Know. Emereo Publishing, 2014, 222 р.
30. Gruber J. Public Finance and Public Policy. New York, Worth Publishers, 2011, 700 р.
31. Hooghe L., Marks G. Types of Multi-Level Governance. European Integration online Papers (EIoP), 2001, vol. 5, no. 11, 32 р.
32. Hyman D.N. Public Finance: A Contemporary Application of Theory to Policy. South-Western, Cengage Learning, 2011, 800 р.
33. Kesner-Skreb M. Fiscal Federalism. Financial Theory and Practice, 2009, no. 33(2), pp. 235–237.
34. Konings J., Torfs W. Fiscal Federalism, Tax Competition and Economic Agglomeration. In: Fiscal Federalism in the European Union. Larcier, 2012, pp. 35–56.
35. Lavrov A.M. Budgetary Federalism. In: Azrael J.R., Payin E.A. Conflict and Consensus in Ethno-political and Center-Periphery Relations in Russia. Rand Corporation, 1998, 53 р.
36. Maior P.V. Is Fiscal Federalism Different in the European Union? Paper for the 2^nd Conference on the Political Economy of International Organizations. January 29–31, 2009. Geneva, University of Geneva, Graduate Institute of International Studies, 2009, 26 p.
37. Malizia R., Tassa E. Administrative Decentralization versus Fiscal Federalism. Some Remarks Based on the Italian and European Countries' Evidence. The Villa Mondragone International Economic Seminar on Rules, International Economy and Growth CEIS. Rome, University of Rome Tor Vergata, 2004, 48 p.
38. McKenzie K.J. Reflections on the Political Economy of Fiscal Federalism in Canada. C.D. Howe Institute Working Paper, 2005, pp. 1–15.
39. Mitu N.E., Drăcea N.M. Tax Federalization – an Important Step in the Process of Decentralization. Finance – Challenges of the Future, 2009, vol. 1, no. 10, pp. 168–172.
40. Moges A.G. Fiscal Federalism in Theory and Practice. Special Issue on the Ethiopian Economy, 2013, vol. 5, no. 1, pp. 6–32.
41. Musgrave R.A. Approaches to a Fiscal Theory of Political Federalism. In: Public Finances: Needs, Sources, and Utilization. Princeton University Press, 1961, pp. 97–134.
42. Eva-Maria Maggi, Ulrich Ladurner. Fiscal Federalism. Federal Features and Financial Decentralization. EURAC, 2009.
43. Oates W.E. An Essay on Fiscal Federalism. Journal of Economic Literature, 1999, vol. 37, no. 3, pp. 1120–1149.
44. Oates W.E. Fiscal Federalism and the European Union: Some Reflection. Societa Italiana di Economia Pubblica, Pavia University, 2002, pp. 36–57.
45. Oates W.E. Toward A Second-Generation Theory of Fiscal Federalism. International Tax and Public Finance, 2005, vol. 12, iss. 4, pp. 349–373.
46. Panella G., Fossati A. Fiscal Federalism in the European Union. Routledge, 1999, 320 р.
47. Quigley J.M. Fiscal Federalism and Economic Development: A Theoretical Overview. In: Government for the Future. Contributions to Economic Analysis. Emerald Group Publishing Limited, 1997, vol. 238, pp. 83–101.
48. Saburov E., Tipenko N., Cherniavskii A. Budget Federalism and Interbudgetary Relations. Problems of Economic Transition, 2001, vol. 43, no. 11, pp. 76–92.
49. Salami A. Taxation, Revenue Allocation and Fiscal Federalism in Nigeria: Issues, Challenges and Policy Options. Economic Annals, 2011, vol. LVI, no. 189, pp. 27–50.
50. Serra J., Afonso J.R. Fiscal Federalism Brazilian Style: Reflections. Paper Presented at the Forum of Federations. International Conference on Federalism. Mont-Tremblant, Forum of Federations, 1999, 33 p.
51. Sharma C.K. The Federal Approach to Fiscal Decentralisation: Conceptual Contours for Policy Makers. Loyola Journal of Social Sciences, 2005, vol. XIX, no. 2, pр. 169–188.
52. Šimović H. Fiscal System and Fiscal Relations in the European Union: Political Restraints and Alternative Approach to Public Finance. Working Paper Series, 2007, no. 07-04, 11 р.
53. Solanko L., Tekoniemi М. To Recentralise or Decentralize – Some Recent Trends in Russian. BOFIT Online, 2005, no. 5, 27 p.
54. Thiessen U. Analysis of Contemporary Budget Federalism Models Based on Economic and Social Effectiveness of Inter-Budgetary Relations. Theory, Experiences in OECD Countries, and Analysis for Russia. Moscow, Russian-European Centre for Economic Policy (RECEP), 2005, 37 р.
55. Virkola T. Fiscal Federalism in Four Federal Countries. Research Institute of the Finnish Economy, 2014, 44 р.
56. Weingast B.R. Тhe Economic Role of Political Institutions: Market-Preserving Federalism and Economic Development. Journal of Law Economics and Organization, 1995, vol. 11, no. 1, pp. 1–31.
57. Wildasin D.E. Fiscal Federalism. New Palgrave, 2008.

View all articles of issue

ISSN 2311-8768 (Online)
ISSN 2073-4484 (Print)

Journal current issue

Vol. 17, Iss. 1 March 2024

Archive