This paper is a methodological proposal for the distribution of the Regional Equalization Fund, based on the following principles: (i) To measure the degree of regional development by means of an indicator with an appropiate theoretical basis (an indicator combining both the average income and its dispersion); (ii) To establish an egalitarian approach, as a combination of the leximin and proportional solutions (leaving these "proportions" open); And (iii) to proceed to a distribution aiming at the equalization (in (ii) sense) of the development indicators of the Regions participating in the Fund. Se presenta en este artículo una propuesta metodológica para el reparto del Fondo de Compensación Interterritorial, basada en los siguientes principios: (i) Medir el grado de desarrollo regional mediante un indicador con una adecuada fundamentación teórica (un indicador que combina tanto la renta media como su dispersión); (ii) Definir un criterio igualitarista, como combinación de las soluciones leximin y proporcional (dejando abiertas las "proporciones" de dicha combinación); y (iii) Proceder a un reparto que persiga la igualación (en el sentido definido en (ii)] de los indicadores de desarrollo entre las Comunidades participantes en el Fondo.
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Paper provided by Instituto Valenciano de Investigaciones Económicas, S.A. (Ivie) in its series Working Papers. Serie EC with number
1991-11.
Length: 52 pages Date of creation: Jan 1991 Date of revision: Publication status: Published by Ivie Handle: RePEc:ivi:wpasec:1991-11
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