Revenues of Municipalities as a Tool of Local Self-Government Development (Comparative Study)

Viera Papcunová, Jarmila Hudáková, Michaela Štubňová and Marta Urbaníková
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Viera Papcunová: Institute of Economics and Management, Faculty of Natural Science, Constantine the Philosopher University in Nitra, 949 74 Nitra, Slovakia
Jarmila Hudáková: Institute of Economics and Management, Faculty of Natural Science, Constantine the Philosopher University in Nitra, 949 74 Nitra, Slovakia
Michaela Štubňová: Institute of Economics and Management, Faculty of Natural Science, Constantine the Philosopher University in Nitra, 949 74 Nitra, Slovakia
Marta Urbaníková: Institute of Economics and Management, Faculty of Natural Science, Constantine the Philosopher University in Nitra, 949 74 Nitra, Slovakia

Administrative Sciences, 2020, vol. 10, issue 4, 1-23

Abstract: A municipality’s budget is a tool that significantly affects the long-term economic potential of the area. In addition, it is an important tool for the management of the municipality, in relation to the effective provision of public services for inhabitants. To ensure them, it uses the revenues that the local self-government receives from various sources. The aim of the paper is to characterize and to compare the mechanism of creating revenues of the local self-government in the Slovak and Czech Republic and, at the same time, to analyze the relationships between individual groups of local revenues in the time period 2009–2018. We analyzed the basic groups of municipal revenues: total revenues, current revenues, and capital revenues. For the analysis, we used selected mathematical–statistical methods (trend lines, correlation coefficient). Although both countries were part of one country, both have a dual model of public administration and have undergone fiscal decentralization; the structure and sources of local self-government revenues are different. However, a common attribute is the dependence of local self-government on state revenues. Tax revenues are the most important part of current budget revenues. Despite fiscal decentralization, local budget revenues are dependent on the state. In the Slovak Republic, share taxes from the state represent 74% of the total tax revenues of municipalities, and in the Czech Republic, 85% of the total tax revenues of municipalities.

Keywords: revenues of municipalities; municipal budget; local self-government (search for similar items in EconPapers)
JEL-codes: L M M0 M1 M10 M11 M12 M14 M15 M16 (search for similar items in EconPapers)
Date: 2020
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1)

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Persistent link: https://EconPapers.repec.org/RePEc:gam:jadmsc:v:10:y:2020:i:4:p:101-:d:459263

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