Regional income redistribution and risk sharing: how does Italy compare in Europe?

Net fiscal flows and interregional redistribution in Italy: A long-run perspective (1951–2010)

“…The size of redistribution through public fiscal flows is around 40% (average over several countries) for MacDougall (1977); 30% for Spain in Castells et al (1981); 39% for Canada and 22% for the United States according to Bayoumi and Masson (1995); 38% in France, 26% in UK, 18% in Canada and 16% in the USA in Mélitz and Zummer (1998); 40% for Germany in Duboz and Nicot (1998); 45% on average in several European countries, for Castells (1998). More recently, Barberán et al (2000), estimating equation (1) Finally, Decressin (2002) and Arachi et al (2010) use similar estimates to assess the extent of redistribution in Italy respectively in the periods 1983-1992 and 1996-2002; the former find that the redistributive power of fiscal flows is around 24% while for the latter the estimate is about 28% 16 .…”

Fiscal decentralization in the Italian NHS: What happens to interregional redistribution?

“…5 As a term of comparison we also estimate redistribution by the overall public budget. Applying a well developed econometric approach [23][24][25][26][27][28][29][30][31], we regress a regional "activity" variable (regional per-capita income) including the fiscal balance on that same variable net of the fiscal balance. The fiscal balance is given by total public expenditure benefiting a regions' residents less total revenues collected from the regions residents.…”

“…Following the approach proposed by Bayoumi and Masson [26], as later developed by Mélitz and Zumer [34,29], and applied to Italy by Decressin [35] and by Arachi et al [31], a summary measure of interregional redistribution can be obtained by running an OLS estimation on the following model:…”

On the size and determinants of inter-regional redistribution in European countries over the period 1995–2009

“…Cross-country analysis includes the so-called MacDougall report (MacDougall, 1977). This seminal reference was commissioned by the EU and and Italy (Obstfeld and Peri, 1988;Decressin, 2002). Disparities in data sources and specifications again make it difficult to compare results.…”