Financial Innovation Management: Impact of Fiscal Decentralization on Economic Growth of the Baltic Countries

Result code in IS VaVaI

<a href="https://www.isvavai.cz/riv?ss=detail&h=RIV%2F04130081%3A_____%2F22%3AN0000023" target="_blank" >RIV/04130081:_____/22:N0000023 - isvavai.cz</a>

Result on the web

<a href="https://armgpublishing.com/journals/mmi/volume-13-issue-1/article-19/" target="_blank" >https://armgpublishing.com/journals/mmi/volume-13-issue-1/article-19/</a>

DOI - Digital Object Identifier

<a href="http://dx.doi.org/10.21272/mmi.2022.1-19" target="_blank" >10.21272/mmi.2022.1-19</a>

Result language

angličtina

Original language name

Financial Innovation Management: Impact of Fiscal Decentralization on Economic Growth of the Baltic Countries

Original language description

The management process of fiscal policy incorporates a wide analysis of various factors. The dynamic financial approach should be applied in deciding the level of centralization. The article offers the usage of the multicriteria method in selecting fiscal variables as a new instrument for financial evolution. In this article, the hypothesis of decentralization's impact on economic growth is tested to show the growth opportunities. The implications of the fiscal decentralization index on economic growth across the Baltic States for 2005-2017 were examined using a panel data approach with dynamic effects. The Baltic countries (Estonia, Latvia, and Lithuania) are often considered as a single region with similar economic profiles and common political and social values. They are closely related geographically and historically, particularly during the Soviet era. Although their post-Soviet development has been similar, there are significant differences in local administrative systems and government finances. After restoring independence, the three Baltic countries have been reorganizing their public institutions according to western standards. Each country has some differences in organizing the management of local governments. The study's novelty is emphasized by supplementing the analysis with a fiscal decentralization index, including 24 fiscal decentralization indicators. The fiscal decentralization index ranges from 0.29 to 0.51. Lithuania (0,29) has the lowest fiscal decentralization index, the highest - Latvia (0.52) in the Baltic countries. The investigated model has revealed that the facts considered produce a statistically significant effect. Results showed a negative relationship between fiscal decentralization and economic growth in the Baltic States from 2005 to 2017. It should not be forgotten that, in some cases, regions are not capable of implementing green and inclusive growth without the influence of the central government.

Czech name

—

Czech description

—

Type

J_imp - Article in a specialist periodical, which is included in the Web of Science database

CEP classification

—

OECD FORD branch

50204 - Business and management

Project

—

Continuities

N - Vyzkumna aktivita podporovana z neverejnych zdroju

Publication year

2022

Confidentiality

S - Úplné a pravdivé údaje o projektu nepodléhají ochraně podle zvláštních právních předpisů

Name of the periodical

Marketing and Management of Innovations

ISSN

2218-4511

e-ISSN

—

Volume of the periodical

13

Issue of the periodical within the volume

1

Country of publishing house

LT - LITHUANIA

Number of pages

15

Pages from-to

257-271

UT code for WoS article

000818884300007

EID of the result in the Scopus database

—