Reform of Fiscal Federalism in Russia: Fiscal Behavior at the Subnational Level of Government

Annotation
Further reform agenda:
Creating incentives for responsible behavior at the regional and municipal levels of government;
Extensive usage of matching grants to pursuit federal objectives at the regional level;
Creating unified system of federal grants to regions including various kinds of present discretionary transfers (road construction, investment programs, ad hoc grants);
Moving to real equalization of fiscal capacity from grants allocation according to “normative” revenues and expenditures.