El modelo federal alemán de relaciones financieras (finanzbeziehungen) y de igualación financiera entre estados (länderfinanzausgleich)

• Main Author: Carlos Padrós Reig
• Format: Article
• Language: Catalan
• Published: Institut d'Estudis de l'Autogovern 2013-04-01
• Series: Revista d'Estudis Autonòmics i Federals
• Subjects: financing sub-state governments; federal solidarity; mechanisms of intergovernmental transfers; fiscal federalism; economic equalisation.
• Online Access: http://www20.gencat.cat/docs/governacio/IEA/documents/publicacions/reaf/2013/17/Arxius%20REAF%2017/_reaf17_Padros.pdf
• ISSN: 1886-2632

The article describes the evolution of the financial relations between the Federation and states (Länder) in the Federal Republic of Germany. There are several mechanisms of economic equalisation between levels of government (vertical and horizontal solidarity). One of the characteristics of the system is its effects on the reduction of fiscal capacity disparities, which are subject to the limits imposed by the ordinality principle. According to this, the Länder with higher economic performance maintain their initial position once transfershave been executed. This mechanism tries to avoid ousting the richestfrom its potential generation of wealth and, at the same time, it contributes to keeping the budget expenses of the poorest Länder under control.