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NUMERO 1 - 14/01/2009

 Centralisation and decentralisation of fiscal federalism in Germany

German federalism shows among the countries with a federal constitution a comparably high degree of centralisation because the concept of administrative or executive federalism gives large legislation powers to the federation whereas the execution of federal laws generally is decentralised to the states. The recent – first – federalism reform has shifted some important competences to the states – among them the salaries and pensions of the civil service – and has completely abolished the so called frame legislation. Most of the crucial subjects of the fiscal constitution were together with questions of administration excluded from the negotiations of the – first – commission but restarted two years ago in a second commission in which representatives of federal and state parliaments and governments intend to find solutions.

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