Fiscal Transfers in the Spatial Economy

Intergovernmental Fiscal Transfers in Asia 2 Intergovernmental Fiscal Transfers : Concepts , International Practice , and Policy Issues

There is a large conceptual and empirical literature on intergovernmental fiscal transfers. Drawing on this work and examples from various countries, we provide in this chapter a broad overview of the theory and practice of intergovernmental transfers, with particular focus on developing countries. We begin with a review of the main objectives of intergovernmental transfers and the criteria use...

Intergovernmental Fiscal Transfers: Some Lessons

Designing a rule-based fiscal framework in Iran economy

The existence of a structural budget deficit in Iranian economy and the lack of fiscal discipline have raised concerns about the financial stability of governments among economists. In recent decades, fiscal rules have been considered as a way to establish fiscal discipline and financial sustainability of governments around the world. In this regard, the present study seeks to design a fiscal f...

Political Economy of Fiscal Institutions

We discuss two essential problems of the political economy of public finances: The principal agent problem between voters and elected politicians and the common pool problem arising from the fact that money drawn from a general tax fund is used to pay for policies targeting more or less narrow groups in society. Three institutional mechanisms exist to deal with these problems, ex-ante rules con...

Assessing the Iranian Fiscal Sustainability in Past and Future through Tax Side of the Economy

This paper, I have focused on the tax side of the fiscal policy to  investigate the past and future behavior of fiscal sustainability in Iran. To do so, I have employed two different forward-looking and backward-looking approaches. First, the backward-looking approach is the fiscal policy rule proposed by Daving & Leeper (2011). Precisely, this rule determines that whether the fiscal policy is ...