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Fiscal Equalization

Challenges in the Design of Intergovernmental Transfers

  • Book
  • © 2007

Overview

  • Offers academics and practitioners a thorough, thematic assessment of unresolved issues in the design of equalization grants

  • Experts from across the globe address institutions, designs, methods, and processes

  • Includes supplementary material: sn.pub/extras

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Table of contents (20 chapters)

  1. Introduction

  2. The Nature of Equalization - Objectives and Consequences

  3. The Institutional Setting

  4. Challenges in Implementing Equalizaton

  5. The Relationship of Equalization to Other Policies

Keywords

About this book

Each endogenous variable in the model is a function of the exogenous For later discussion, it is useful to explore this in variables and parameters. more detail for one of the endogenous variables, for example the grant to State i. In this regard, one can define from (6) the per capita grant to a State as where F = [s N] is a vector of variables determined by the federal government, P = [p, p,] is a vector of the local public good prices, CGC = [I, pi c] is a vector of variables determined by the CGC and S = lq, q,] is the strategy set of the two States. Within F, the variable s is determined by the federal government. The total federal population N is determined by things such as the birth and death rate, but also by international migration and hence, to some extent, the population policy of the federal government. Within the vector CGC, the variables yi , pi, c are all determined by the CGC, while the public good provision levels within S are determined by the States. As discussed below, we assume that each State perceives s, N, public good prices and the CGC variables (except the adjustment term c) to be exogenously given. This is reasonable since in practice the States have no impact on s and only a marginal impact on the CGC variables.

Editors and Affiliations

  • Department of Economics, Andrew Young School of Policy Studies, Georgia State University, Atlanta, USA

    Jorge Martinez-Vazquez

  • Consultant on Fiscal Decentralization, Formerly the Commonwealth Grants Commission, Australian Government, Australia

    Bob Searle

Bibliographic Information

  • Book Title: Fiscal Equalization

  • Book Subtitle: Challenges in the Design of Intergovernmental Transfers

  • Editors: Jorge Martinez-Vazquez, Bob Searle

  • DOI: https://doi.org/10.1007/978-0-387-48988-9

  • Publisher: Springer New York, NY

  • eBook Packages: Business and Economics, Economics and Finance (R0)

  • Copyright Information: Springer-Verlag US 2007

  • Hardcover ISBN: 978-0-387-48987-2Published: 04 December 2006

  • Softcover ISBN: 978-1-4419-4314-9Published: 04 November 2010

  • eBook ISBN: 978-0-387-48988-9Published: 16 May 2007

  • Edition Number: 1

  • Number of Pages: X, 502

  • Topics: Public Economics, Development Economics

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