Financial assistance to subjects of the Russian Federat

Financial assistance to subjects of the Russian Federat

Any model of fiscal federalism is based on three main components that are the basis of its effective functioning:
1) a clear delineation of powers between levels of power in terms of expenditures;
2) the appropriation of appropriate levels of power sufficient for the exercise of these powers by financial resources;
3) smoothing vertical and horizontal imbalances through a system of intergovernmental transfers in order to ensure equal access of citizens to public services throughout the country.