TO WHAT EXTENT IS THE LOCAL TAX INCREASE APPROPRIATE?
Narcis Mitu () and
Assoc. Prof. Raluca Drăcea Ph. D
Additional contact information
Assoc. Prof. Raluca Drăcea Ph. D: University of Craiova Faculty of Economics and Business Administration Craiova, Romania
Annals of University of Craiova - Economic Sciences Series, 2010, vol. 2, issue 38, 6
Fiscality represents a major decision factor for investment as it represents an important cost of every business transaction regardless of its type, size or geographical location. In this respect, we find that a legislative initiative could be a solution worthy of being taken into consideration, an initiative that would allow each locality - regardless of its rank - to provide its citizens with standards in accordance with their efforts. Tax federalization may allow higher efficiency in spending public resources that are never abundant enough, and also greater political accountability. Moreover, tax federalization could also be beneficial for increasing Romania’s degree of democracy, as the decisions directly concerning the citizen are brought much closer to him/her so that he/she can control them more easily, by vote or by a proper spending of taxes he/she pays. The paper analyses the usual arguments discussed about fiscal federalization through normative and positive (public choice) approaches.
Keywords: fiscality; local tax; tax increase; tax federalization; public choice (search for similar items in EconPapers)
JEL-codes: E62 H21 H71 (search for similar items in EconPapers)
References: View complete reference list from CitEc
Citations: Track citations by RSS feed
Downloads: (external link)
This item may be available elsewhere in EconPapers: Search for items with the same title.
Export reference: BibTeX
RIS (EndNote, ProCite, RefMan)
Persistent link: https://EconPapers.repec.org/RePEc:aio:aucsse:v:2:y:2010:i:6:p:189-194
Access Statistics for this article
Annals of University of Craiova - Economic Sciences Series is currently edited by Sorinel Domnisoru
More articles in Annals of University of Craiova - Economic Sciences Series from University of Craiova, Faculty of Economics and Business Administration Contact information at EDIRC.
Bibliographic data for series maintained by Anca Bandoi ().