Modeling federal support for regions (a case-study for Siberian Federal District)
Lavrovsky, B.L. and E.A. Postnikova
Abstract
The major difficulty in modeling federal support is to combine the equalizing fiscal capacities of regions with building conditions and incentives for regional authorities to accumulate their economic (fiscal) potential. The paper analyses one of possible variants of such model where the attempt to harmonize these, generally speaking, contradictory targets was made. To imitate different variants of fiscal capacities in regions which reflect both the production scopes in regions and the horizontal and vertical tax flows, and to find the situations of equilibrium in one or another sense is a key idea of our model concept.
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