Fuentes, Andrés.

Reforming Federal Fiscal Relations in Austria [electronic resource] / Réformer les relations budgétaires entre la fédération et les autres niveaux d'administration Andrés Fuentes, Eckhard Wurzel and Andreas Wörgötter = Réformer les relations budgétaires entre la fédération et les autres niveaux d'administration / Andrés Fuentes, Eckhard Wurzel et Andreas Wörgötter - Paris : OECD Publishing, 2006. - 34 p. ; 21 x 29.7cm. - OECD Economics Department Working Papers, no.474 18151973 ; . - OECD Economics Department Working Papers, no.474. .

This paper reviews the fiscal relations between the three levels of government in Austria and points to the scope for reforming them with a view to improving the efficiency of the public sector. Key areas of public sector activity are subject to complex relations across the three layers of government. Fragmentation of decision-making in some spending programmes, such as hospital care and social assistance benefits, needs to be overcome, concentrating financing and spending responsibilities on one government level. Strengthening co-operation between municipalities as well as amalgamations of small municipalities would allow advantage to be taken of scale economies in the provision of local government services. Stronger tax-raising powers of the municipalities and the states, reform of tax sharing rules and improved budgeting procedures would raise the ability of sub-national governments to match the supply of services to local demand patters and improve accountability to voters. This Working Paper relates to the 2005 OECD Economic Survey of Austria (www.oecd.org/eco/surveys/austria)


Economics


Austria