The Development Of Inter-Budgetary Relations On The Basis Of Assessment Of Regions’ Financial Potential
The article lays out the principles of inter-budgetary relations based on the assessment of financial potential. It offers changes to the formula of inter-budgetary transfers’ calculation: instead of the indicator of the local budgets’ revenues it proposes to use the financial potential of territories multiplied by the efficiency coefficient of the financial potential’s usage. This calculation makes it possible to give the real estimation of both the volumes of local budgets’ revenues and the volume of budgetary compensation they can lay a claim to.
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