KAKO PRISTUPITI FISKALNOJ DECENTRALIZACIJI

Abstract

Most modern countries, whether they are unitary or federal, have several levels of territorial government as one of the imperatives of the modern organization of the state, operating in order to meet the most disparate needs encountered at lower levels of government.Different countries have different levels of government, and each of them a different hierarchy of public administration bodies where citizens decide on the offer of public services and their financing through elections.While the role of the central level of government is today in the creation of a national infrastructure and development of a better qualified workforce in order to make the state competitive internationally, the importance of the local government is before all in the creation of the entrepreneurial infrastructure, transport and communications.Therefore, it becomes clear that lower levels of government have an increasingly important role in the development of the country so that a growing number of countries worldwide are implementing reforms in the area of fiscal decentralization.Nevertheless, although desirable, fiscal decentralization is not an easy task for any state.There are numerous problems and obstacles in that process, which influence the decision on decentralization, fiscal smoothing and the issue of state intervention.