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Addressing the net balances problem as a prerequisite for EU budget reform: A proposal

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dc.creator Fuente, Ángel de la
dc.date 2008-05-19T12:00:03Z
dc.date 2008-05-19T12:00:03Z
dc.date 2008-02-15
dc.date.accessioned 2017-01-31T01:22:13Z
dc.date.available 2017-01-31T01:22:13Z
dc.identifier http://hdl.handle.net/10261/4346
dc.identifier.uri http://dspace.mediu.edu.my:8181/xmlui/handle/10261/4346
dc.description Conflict among member states regarding the distribution of net financial burdens has been allowed to contaminate the entire design of the EU budget with very negative consequences in terms of equity, efficiency and transparency. To get around this problem and pave the way for a substantive budget reform, we propose to decouple distributional negotiations from the rest of the budget process by linking member state net balances in a rigid manner to relative prosperity. This would be achieved through the introduction of a system of compensating horizontal transfers that would take to its logical conclusion the Commission's proposal for a generalized compensation mechanism. We discuss the impact of the proposed scheme on member states' incentives and illustrate its financial implications using revenue and expenditure projections for 2013 that are based on the current Financial Perspectives and Own Resources Decision.
dc.description This paper is part of a research project co-financed by the ERDF and Fundación Caixa Galicia. Additional financial support from the Spanish Ministry of Education under research grants SEJ2005-06357 and SEJ2005-01365 is also gratefully acknowledged.
dc.description Peer reviewed
dc.format 1002347 bytes
dc.format application/pdf
dc.language eng
dc.rights openAccess
dc.subject EU budget
dc.title Addressing the net balances problem as a prerequisite for EU budget reform: A proposal
dc.type Documento de trabajo

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