Territorial Fiscal Self-Rule

Living reference work entry
DOI: https://doi.org/10.1007/978-3-319-31816-5_3641-1



As a topic of public finance, territorial fiscal self-rule addresses the most decisive territorial fiscal balance point, in which so-called internal own revenues – i.e., a narrow subset of own revenues – back the spending needs derived from assigned functional responsibilities upon which the substate unit has real policy decision-making.


The concept of territorial fiscal self-rule (TFSR) differs from its closest cognates, such as fiscal federalism, fiscal decentralization, or financial autonomy. It is not burdened by the “federal bias” as the first concept is, nor distracted by the discussion whether “decentralization” encompasses deconcentration or other kinds of decentralization (political, administrative, and electoral) as in the second concept, nor is TFSR centered exclusively around the tax domain as in the third cognate concept. It is also not equal to the concept of “regional economic...

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Authors and Affiliations

  1. 1.Faculty of Law, Social Sciences & EconomicsUniversity of ErfurtErfurtGermany