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The Relationship between the Revenue and the Fiscal Capacity of the Spanish Autonomous Regions

Author

Listed:
  • NÚRIA BOSCH

    (University of Barcelona)

  • MAYSSUN EL-ATTAR

    (McGill University)

  • MAITE VILALTA

    (University of Barcelona)

Abstract

This article analyses the degree of inter-territorial redistribution that occurs in Spain through the Autonomous Regions’ financial model and through the flow of current and capital transfers that the regional governments receive outside that model. The results indicate a high degree of redistribution that occurs through the systems of allocation of transfers to the various regional governments. In the case of the common-regime autonomous regions, the elasticity of total resources received by the regional governments with respect to their own fiscal capacity (GDP per capita) is 0.010. This means that the resources available to them are almost unrelated to their own fiscal capacity.

Suggested Citation

  • Núria Bosch & Mayssun El-Attar & Maite Vilalta, 2024. "The Relationship between the Revenue and the Fiscal Capacity of the Spanish Autonomous Regions," Hacienda Pública Española / Review of Public Economics, IEF, vol. 250(3), pages 3-32, September.
    • Handle: RePEc:hpe:journl:y:2024:v:250:i:3:p:3-32
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    Keywords

    Regional financing; Territorial redistribution.;

    JEL classification:

    • H71 - Public Economics - - State and Local Government; Intergovernmental Relations - - - State and Local Taxation, Subsidies, and Revenue
    • H73 - Public Economics - - State and Local Government; Intergovernmental Relations - - - Interjurisdictional Differentials and Their Effects

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