Financial equalization
Revenue sharing a is the financial system , the government revenue and public expenditure between different NUTS planes within a state or revenue and expenditure or between organizations ( churches , health insurance companies , broadcasting stations ) according to a fixed allocation system distributed.
species
The horizontal financial equalization takes place between subordinate states ( states , states , provinces , regions or municipalities ), the vertical one is a redistribution from top ( central government ) to bottom (municipalities). While horizontal financial equalization corresponds to the model of cooperative federalism , vertical financial equalization leads to greater competition within the federal system.
The most important financial equalization takes place between the regional authorities of a state ( English intergovernmental fiscal relations , French partage des compétences ), whereby the distribution of state revenues represents an active financial equalization and the distribution of the tasks a passive financial equalization.
Distribution examples
- Subject-related examples
- Municipal financial equalization : tax distribution between the municipalities within the state;
- State financial equalization : redistribution of financial resources between the federal government and the states as well as between the states;
- Risk structure compensation : Financial compensation between health insurance companies or insurers .
- National full compensation
Systems for equal financial distribution.
- Financial equalization (Australia) : distribution between states;
- Financial equalization (Belgium) : distribution between regions;
- Financial equalization (Canada) : distribution between provinces;
- Financial equalization (USA) : Distribution between states.
- National partial adjustment
Systems that reduce distribution inequality:
- European financial equalization : EU income and financing system , distribution of tasks between the EU and EU member states .
- National compensation (uncategorized)
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Financial equalization (Germany) : Distribution of taxes between the federal and state levels;
- State financial equalization : Distribution of taxes between the countries in Germany
- Pay-as-you-go system : takes place through intermunicipal financial equalization (“redistributive function”);
- Financial equalization (France) : distribution of taxes between local authorities in France;
- Financial equalization (Austria) : regulation of the distribution of the state's financial resources among the individual regional authorities;
- Financial equalization (Switzerland) : Financial equalization between the Confederation and the cantons and between cantons and communes .