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Begging Bowl Meets Baseball Bat? Lessons for the UK from the Australian Fiscal Model

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  • David Pickernell
  • Mark Mcgovern

Abstract

The UK has taken a historic step towards regionalized government with its creation of a Scottish Parliament and Welsh and Northern Ireland Assemblies. However this has raised important question marks about the existing funding system, the 'Barnett formula'. The purpose of this article is to examine the experience offered by a mature federal fiscal system, namely that of Australia. The Australian system, and in particular its fiscal system of distribution, is outlined, as are the effects of this system and the political manipulations of it that have taken place. Issues arising and important implications for UK policy makers are then discussed.

Suggested Citation

  • David Pickernell & Mark Mcgovern, 2002. "Begging Bowl Meets Baseball Bat? Lessons for the UK from the Australian Fiscal Model," Regional Studies, Taylor & Francis Journals, vol. 36(6), pages 703-707.
    • Handle: RePEc:taf:regstd:v:36:y:2002:i:6:p:703-707
    DOI: 10.1080/00343400220146849
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    References listed on IDEAS

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    1. Brian E. Dollery & Andrew C. Worthington, 1996. "A Note On Political Factors In Federal Fiscal Arrangements In Australia," Economic Papers, The Economic Society of Australia, vol. 15(4), pages 81-87, December.
    2. Walsh, C., 1996. "Refocussing Commonwealth-State Financial Relation: Tax Powers, Microeconomic Reform and Intergovernment Relations," Papers 96.1, South Australian Centre for Economic Studies-.
    3. Row, Richard & Duhs, Al, 1998. "Reducing Vertical Fiscal Imbalance in Australia: Is There a Need for State Personal Income Taxation?," Economic Analysis and Policy, Elsevier, vol. 28(1), pages 69-83, March.
    4. Martin Laffin & Alys Thomas, 0. "The United Kingdom: Federalism in Denial?," Publius: The Journal of Federalism, CSF Associates Inc., vol. 29(3), pages 89-108.
    5. R. Ross Mackay, 2001. "Regional Taxing and Spending: The Search for Balance," Regional Studies, Taylor & Francis Journals, vol. 35(6), pages 563-575.
    6. MICHAEL McLURE, 1994. "An Economic Examination Of Australian Fiscal Equalisation," Economic Papers, The Economic Society of Australia, vol. 13(4), pages 23-36, December.
    7. Nick Gallent, 2000. "Resource allocation and political change in the UK," Regional Studies, Taylor & Francis Journals, vol. 34(4), pages 389-394.
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    Cited by:

    1. Adrian Kay & Gillian Bristow & Mark McGovern & David Pickernell, 2005. "Fair Division or Fair Dinkum? Australian Lessons for Intergovernmental Fiscal Relations in the United Kingdom," Environment and Planning C, , vol. 23(2), pages 247-261, April.

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