Fiskalinės decentralizacijos vertinimas Lietuvoje ; The Evaluation of Fiscal Decentralization in Lithuania
This Public sector of economics master's work topic is relevant, because the autonomy of local government affects processes such as: offering of public goods, services, reduction of social protection and poverty, development of financial sector, stability of macroeconomic and others. For that reason the evaluation and analysis of the level of fiscal decentralization in the country is needed. The problem of this work – what is the level of fiscal decentralization in Lithuania and is it sufficient for Lithuania. The object of the work is fiscal decentralization and the purpose – to evaluate fiscal decentralization of 2005–2009 years in Lithuania. To achieve this purpose the following tasks are raised: to define the conception of fiscal decentralization; to review the development of local government and legal framework of fiscal decentralization in Lithuania; to discuss the local financial system based on components of fiscal decentralization; to analyze the level of fiscal decentralization of 2005–2009 years in Lithuania and compare with Latvia and Estonia; to present conclusions and suggestions for fiscal decentralization in Lithuania. The hypothesis has been proven – the level of fiscal decentralization of 2005–2009 years in Lithuania is insufficient. For preparation of this master's work such research methods was used: literature analysis, legislative analysis, statistical analysis, systematic and logical analysis, comparative and sociological analysis and also graphical analysis of simulation. The results showed that the level of fiscal decentralization in Lithuania, taking into an account the four components of fiscal decentralization, is insufficient. In period of 2005–2009 years the medium and insufficient level of fiscal decentralization is fixated, but also it lags behind Latvia and Estonia. It is also important to distinguish the fact, that the corruption and incompetence factors makes influence on autonomy of the local governments, therefore fiscal decentralization in Lithuania should be developed to a certain level according to these objective reasons and a monitoring and reporting control system of financial resources must be created.