Principles of Fiscal Decentralization

Unit 3: Revenue Assignment
 
The revenue assignment question, as tax policy is known in the context of intergovernmental fiscal relations, is considered the second main pillar or building block of fiscal decentralization reform. This unit reviews key concepts in tax policy, including revenue adequacy, revenue buoyancy, horizontal and vertical equity, administrative feasibility, vertical equity, horizontal equity, benefits principle and the ability-to-pay principle.

Further key concepts specifically relate to the revenue assignment issue, including correspondence, fiscal autonomy, vertical fiscal balance and horizontal fiscal balance (fiscal disparities). Using these concepts, we will review revenue sources available to governments and assess the general suitability of revenue sources for local governments.

• Subnational Revenues: Realities and Prospects  (Richard Bird - 16 pages)
  Overview Paper: 219 KB  

• Revenue Assignment and Local Revenue Mobilization (1)   (Jamie Boex - 20:52 min)
  Video Presentation: 3.66 MB  
  MP3 Audio Only: 3.53 MB  
  Presentation Slides: 0 KB  

• Revenue Assignment and Local Revenue Mobilization (2)   (Jamie Boex - 15:54 min)
  Video Presentation: 2.81 MB  
  MP3 Audio Only: 2.69 MB  
  Presentation Slides: 0 KB