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Show 122 political resources overdependence of away from the regional governments distributional conflicts now, this conflict is over suppressed policy for However, government. resources on given the the federal government, the level and distribution of transfers are sure to arise. For because the party that is in control of the federal government is also in control of appears to be central most of the regional governments, and hence there coherence between the federal government and the regional governments. I argue, however, that if and when the full intent of the Constitution is put into practice, current fiscal and when regional governments arrangement is bound to lead to intense government, because with such control The chapter traditional literature is organized on as relationship comes access rivalry to the division of self-interest, the for the control of the federal resources. follows. The next section presents between the federal government and fiscal start to advance their expenditure responsibilities regional governments. a and discussion of the revenue sources Section 4.2 analyses the between the two tiers of government and argues that the current state of vertical and horizontal imbalances the Constitution. Section 4.3 picks unsustainable in relation to what is up the of distributional conflicts and their system. The chapter concludes with are a implication of this fiscal long-term impact on the stipulated relationship stability in in terms of the federal brief summary of the main arguments. |