Fiscal Federalism | Center for the Study of Federalism
Fiscal federalism is an economic framework for understanding the relationship among federal, state, and local governments that focuses on the division of spending and taxing powers among these governments. Fiscal...
Fiscal federalism is an economic framework for understanding the relationship among federal, state, and local governments that focuses on the division of spending and taxing powers among these governments. Fiscal federalism is primarily an economic, rather than political, theory of relationships among central and noncentral governments. One focus is the division of responsibilities among different types of governments. For example, the traditional theory of fiscal federalism argues that the central government should be responsible for macroeconomic policies but local governments should be…
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