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Public Finance of the Autonomous Regions of Spain. Reflections and Proposals for Reform

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  • A Pedros Abello

    (Universidad de Barcelona, Departamento Hacienda Publica y Derecho Fiscal, Barcelona, Spain)

Abstract

In this paper it is argued that the present fiscal imbalance in the finance of the autonomous communities can be remedied only by consideration of a number of principles of financial structure—in particular, sufficiency and solidarity. This leads to a proposal for reform which is based on (1) the fixing, as a percentage of GDP, of a global sum of revenue required for each level of government; (2) allowing autonomous tax-rate setting of ceded taxes; and (3) the introduction of a reformed block-grant, based on a percentage of GDP and distributed to regions on the basis of required revenue (this emphasises need and resource equalisation). The proposals are intended as a complete model in which minimal change from existing procedures is required.

Suggested Citation

  • A Pedros Abello, 1987. "Public Finance of the Autonomous Regions of Spain. Reflections and Proposals for Reform," Environment and Planning C, , vol. 5(3), pages 301-307, September.
    • Handle: RePEc:sae:envirc:v:5:y:1987:i:3:p:301-307
    DOI: 10.1068/c050301
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