Fiscal federalism

Christoph A. Schaltegger and Marco Portmann

Chapter 45 in Elgar Encyclopedia of Public Choice, 2025, pp 314-324 from Edward Elgar Publishing

Abstract: Fiscal federalism refers to horizontal as well as vertical financial interactions within a federal state. It addresses six key objectives: accommodating citizens’ spatially diverse preferences, efficiently allocating government responsibilities across jurisdictions, balancing power distribution, addressing information asymmetries, managing externalities from jurisdictional decisions, and pursuing equity goals to preserve a level playing field for inter-jurisdictional competition. This chapter discusses the most significant theoretical and conceptual contributions related to these six objectives. The final section focuses on the most important empirical effects of fiscal federalism.

Keywords: Fiscal federalism; Structure of government; Decentralization; Externalities; Transfers; And equalization (search for similar items in EconPapers)
Date: 2025
ISBN: 9781802207743
References: Add references at CitEc
Citations:

Downloads: (external link)
https://www.elgaronline.com/doi/10.4337/9781802207750.00050 (application/pdf)
Our link check indicates that this URL is bad, the error code is: 403 Forbidden

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:elg:eechap:21298_45

Ordering information: This item can be ordered from
http://www.e-elgar.com

Access Statistics for this chapter

More chapters in Chapters from Edward Elgar Publishing
Bibliographic data for series maintained by Jack Sweeney ().