Fiscal disparities in Uruguay’s regions: the role of a new system of intergovernmental equalization transfers

This article conducts an empirical analysis of the role of intergovernmental transfers in a group of regions (departments) in Uruguay during the period 2006–2014. It examines the structure and evolution of regional fiscal disparities and the equalizing effects of the current transfer system. It then proposes an innovative methodology for simulating the effects of a new system of equalization transfers. The main finding is that implementing this new system would help to consolidate greater territorial fiscal homogeneity in Uruguay.

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Bibliographic Details
Main Authors: Muinelo-Gallo, Leonel, Urraburu Bordon, Joana, Castro Scavone, Pablo
Format: Texto biblioteca
Language:English
Published: 2019-12-19
Subjects:POLITICA FISCAL, ADMINISTRACION FISCAL, DESIGUALDADES REGIONALES, INGRESOS FISCALES, DESARROLLO REGIONAL, CRECIMIENTO ECONOMICO, FISCAL POLICY, TAX ADMINISTRATION, REGIONAL DISPARITIES, TAX REVENUES, REGIONAL DEVELOPMENT, ECONOMIC GROWTH,
Online Access:https://hdl.handle.net/11362/45415
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Summary:This article conducts an empirical analysis of the role of intergovernmental transfers in a group of regions (departments) in Uruguay during the period 2006–2014. It examines the structure and evolution of regional fiscal disparities and the equalizing effects of the current transfer system. It then proposes an innovative methodology for simulating the effects of a new system of equalization transfers. The main finding is that implementing this new system would help to consolidate greater territorial fiscal homogeneity in Uruguay.