Many states include the word “federation” in their name, which allows to assume that most people have positive perception of federalism as a form of governance. Switzerland and some other countries have shown how fiscal federalism can work in practice for the benefit of society. At the same time, the states that try to copy this undoubtedly positive experience, as a rule, encounter significant difficulties. The article shows how fiscal federalism can influence economic growth of the state and explains why “working” federalism occurs so rarely.
The article compares the causes and consequences of financial economic crises of 1991 and 2008 in Finland. The basic measures for stabilizing economic situation in the country are listed.
The first 8 years of euro existence and 10 years — of stability and growth Pact can be characterized as the time of missed opportunities, when all the prerequisites for the eurozone crisis were formed.
In contrast to the U.S. dollar, euro or pound, congested by debt obligations of the corresponding states, there are good prospects for the issue of reserve currency of the Eurasian Economic Community. This role at the present stage could be played by the Russian ruble, especially as there is an objective economic need, defined by the development potential of the Customs Union.
The crisis generated by the separation of finance from the real sector can not be considered an occasional phenomenon. On the contrary, such concourse of circumstances is rather natural.