What is fiscal federalism?
fiscal federalism, financial relations between units of governments in a federal government system. Fiscal federalism is part of broader public finance discipline. The term was introduced by the German-born American economist Richard Musgrave in 1959.
What is fiscal federalism in India UPSC?
Fiscal federalism refers to the financial relations between Union Government and the state governments. It focus on how expenditure and revenue are allocated across different vertical layers of the government administration.
What are the types of fiscal federalism?
fiscal federalism literature. into three categories: unitary, federal, and confederal.
What is fiscal federalism and why is it important?
Fiscal federalism can be defined as the principles that guide the assignment of tax powers and expenditure responsibilities to the various tiers of government in a federation to promote healthy intergovernmental relations and synergy (Ewetan, 2011. (2011).
What do you mean by fiscal federalism in India?
Fiscal federalism refers to the financial relations between the country’s federal government system and other units of government. It is the study of how expenditure and revenue are allocated across different vertical layers of the government administration.
What was the purpose of fiscal federalism quizlet?
The pattern of spending, taxing, and providing grants to influence state and local governments. Money and resources provided by the federal government to the state and local governments to be used for specific projects or programs.
What is fiscal consolidation Upsc?
Fiscal consolidation is a reduction in the underlying fiscal deficit. Fiscal Consolidation refers to the policies undertaken by Governments (national and sub-national levels) to reduce their deficits and accumulation of debt stock. It is not aimed at eliminating fiscal debt.
What is GST Council Upsc?
Goods & Services Tax Council (GST Council) is a constitutional body for making recommendations to the Union and State Government on issues related to Goods and Service Tax.
What is fiscal feudalism?
fiscal feudalism, feudalism kept alive for no other reason than to bring in. revenue to the government. In contrast with the major gaps in its other source material, the accounts of. the receiver-generals of the Court of Wards are virtually complete for the whole. period of its existence.
What is fiscal federalism Chapter 4?
Fiscal federalism. A system of spending, taxing, and providing aid in the federal system. Grants-in-aid. Include money and other resources that the national government provides to pay for state and local activities. Categorical grants.
What is competitive federalism in India?
Competitive Federalism. NITI Aayog endeavours to promote competitive federalism by facilitating improved performance of States/UTs. It encourages healthy competition among states through transparent rankings, in various sectors, along with a hand-holding approach.
Does fiscal federalism have a constitution?
Fiscal federalism, however, represents the polar case where federal fiscal arrangements are decided purely on economic principles. The existence or otherwise of a federal constitution is not a consideration, and the principles of fiscal federalism apply to both unitary and federal countries2.
Does India’s federal financial system contribute to federalism?
India’s federal financial system has certainly contributed to the financial harmony of federalism. Evidence does not suggest that States the transfers. Bulletin, Money and Finance, Jan-June 2001. Development, Harvard University. Oxford University Press, Delhi. of States in India’, (eds.) by Janak Raj Gupta, 2001. 1973. Weekly, February 14, 1998.
What are some examples of assertive federalism in India?
Another example of their assertiveness was in evidence when 80 th amendment of the Indian constitution was effected. bound to prevail in any federal system. But the same federal system should also act as a cohesion that keeps the federation going. Flexibility provided in the system should not be
What are the dynamics of fiscal transfers in India?
This article examines the dynamics of fiscal transfers in India, both statutory and non statutory. Constitution of India assigns responsibilities and revenue sources to Centre as well as States. Such division is said to be asymmetric as States are assigned greater responsibilities considering their revenue jurisdictions.