engleski

Financing the Activities of Local Governments in Croatia

Decentralization of fiscal activities has been popular in recent years. It can improve the allocation of public spending by making it more consistent with the wishes of citizens. In transition economies, the design of fiscal federalism is crucial because it affects almost all of the key goals of reform, including macroeconomic stabilization, the effectiveness of the social safety net and private sector development. This paper will describe taxation powers and the relative spending of different levels of government in Croatia. The paper will survey the various ways that local governments are actually used in Croatia to finance local expenditures.

local self government; financing; Croatia

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