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Shared Fiscal Responsibility in Federal States: an Analysis Comparing the Spanish System with that of Germany and the USA

Carlos Sáenz Royo and Eva Sáenz Royo

One of the foundations of fiscal federalism is the principle of the fiscal responsibility. As demonstrated in federal practice, this principle promotes fiscally responsible behavior of both federation and, above all, states.

This study analyzes the fiscal responsibility of Spanish autonomies compared to fiscal responsibility of states in other models such as the U.S. and Germany federal system. The federal model comparison aims to detect possible deficiencies in models and to propose improvements in the fiscal responsibility that could correct certain fiscal behavior of the states.

Key words: Intergovernmental Financial Relations; Fiscal Relations; Financing; Federal Entities; Spain; United States; Germany

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