Quality of public finances and growth

In this paper we review the linkages between the quality of public finances, that is, the level and composition of public expenditure and its financing via revenue and deficits, and economic growth. We review the various channels through which public finances affect growth and its underlying determinants (institutional framework, employment, savings and investment, innovation). The paper addresses the approaches used to assess the performance and efficiency of public spending, and surveys the empirical findings on the impact of fiscal variables on sustained economic growth. JEL Classification: H50, O40Efficiency, Growth, quality of public finances

Die Anreizwirkungen des Finanzausgleichs

Der durch die Solidarpaktgesetzgebung des Jahres 1993 neugeordnete Länderfinanzausgleich ist seit den Verfassungsklagen von Bayern und Baden- Württemberg Gegenstand öffentlicher Auseinandersetzungen geworden. Dabei stehen mögliche negative Anreizwirkungen des Finanzausgleichs im Mittelpunkt. Kann es einen anreizkompatiblen solidarischen Finanzausgleich geben? --

Die Berücksichtigung der Gemeindefinanzen im Länderfinanzausgleich: Zwischen Verfassungsrecht und Ökonomie

Das Verfassungsrecht räumt dem Gesetzgeber für die einzelgesetzliche Umsetzung der Regelungen des Art. 107 Abs. 1 S. 4 GG und Art. 107 Abs. 2 S. 1 GG weite Definitions- und Gestaltungsspielräume ein, die erheblich weiter sind, als dies in der rechts- und finanzwissenschaftlichen Literatur häufig angenommen wird. Die Klagen von Bayern, Baden-Württemberg und Hessen geben keinen Anlaß, warum das Bundesverfassungsgericht bei dem jetzt anstehenden Urteil von dieser Rechtsprechung, die es zuletzt im Urteil des Jahres 1992 bestätigt hat, abweichen sollte. Die ökonomische Theorie will zu einer Objektivierung des politischen Handelns beitragen, indem sie sich für wissenschaftlich tragfähige Vorgaben für die Gewichtung der kommunalen Einwohnerzahl und die Einbeziehung der kommunalen Finanzkraft im LFA ausgesprochen hat. Damit soll präjudiziert werden, wie die politischen Entscheidungsträger die Handlungsspielräume auszufüllen haben, die ihnen das Grundgesetz und die Rechtsprechung des BVerfG einräumt. Einen so formulierten Anspruch auf wissenschaftliche Politikberatung kann die ökonomische Theorie jedoch nicht einlösen. Sowohl bzgl. der Einwohnerzahlwertung als auch bzgl. der Einbeziehung der kommunalen Finanzkraft lassen sich aus den verschiedenen Theorieansätzen keine eindeutigen, vom Gesetzgeber bedenkenlos verwertbaren Aussagen ableiten. --

Quality of public finances and growth

In this paper we review the linkages between the quality of public finances, that is, the level and composition of public expenditure and its financing via revenue and deficits, and economic growth. We review the various channels through which public finances affect growth and its underlying determinants (institutional framework, employment, savings and investment, innovation). The paper addresses the approaches used to assess the performance and efficiency of public spending, and surveys the empirical findings on the impact of fiscal variables on sustained economic growth

Atmospheric ice nuclei in the Eyjafjallajökull volcanic ash plume

We have sampled atmospheric ice nuclei (IN) and aerosol in Germany and in Israel during spring 2010. IN were analyzed by the static vapor diffusion chamber FRIDGE, as well as by electron microscopy. During the Eyjafjallajökull volcanic eruption of April 2010 we have measured the highest ice nucleus number concentrations (>600 l−1) in our record of 2 yr of daily IN measurements in central Germany. Even in Israel, located about 5000 km away from Iceland, IN were as high as otherwise only during desert dust storms. The fraction of aerosol activated as ice nuclei at −18 °C and 119% rhice and the corresponding area density of ice-active sites per aerosol surface were considerably higher than what we observed during an intense outbreak of Saharan dust over Europe in May 2008. Pure volcanic ash accounts for at least 53–68% of the 239 individual ice nucleating particles that we collected in aerosol samples from the event and analyzed by electron microscopy. Volcanic ash samples that had been collected close to the eruption site were aerosolized in the laboratory and measured by FRIDGE. Our analysis confirms the relatively poor ice nucleating efficiency (at −18 °C and 119% ice-saturation) of such "fresh" volcanic ash, as it had recently been found by other workers. We find that both the fraction of the aerosol that is active as ice nuclei as well as the density of ice-active sites on the aerosol surface are three orders of magnitude larger in the samples collected from ambient air during the volcanic peaks than in the aerosolized samples from the ash collected close to the eruption site. From this we conclude that the ice-nucleating properties of volcanic ash may be altered substantially by aging and processing during long-range transport in the atmosphere, and that global volcanism deserves further attention as a potential source of atmospheric ice nuclei

Wirtschafts- und finanzpolitische Koordinierung in der EU – Erfahrungen aus einem Jahrzehnt Politikkoordinierung

The year 2010 showed how prone to crisis the Euro zone is. To a great extent this results from insufficient public policy coordination of EU member states’ public and fiscal policies. This paper discusses the main reform proposals related to fiscal, public and structural policy against the background of the underlying collective coordination problem. In addition it also considers the suggestions made for introducing a crisis mechanism. Although the main actors in the Euro zone seem to be aware of the problems of the existing coordination mechanisms, it is still doubtful whether the measures finally taken will be effective enough

Wirtschafts- und finanzpolitische Koordinierung in der EU – Erfahrungen aus einem Jahrzehnt Politikkoordinierung

The year 2010 showed how prone to crisis the Euro zone is. To a great extent this results from insufficient public policy coordination of EU member states’ public and fiscal policies. This paper discusses the main reform proposals related to fiscal, public and structural policy against the background of the underlying collective coordination problem. In addition it also considers the suggestions made for introducing a crisis mechanism. Although the main actors in the Euro zone seem to be aware of the problems of the existing coordination mechanisms, it is still doubtful whether the measures finally taken will be effective enough

Saharan dust and ice nuclei over Central Europe

Surface measurements of aerosol and ice nuclei (IN) at a Central European mountain site during an episode of dust transport from the Sahara are presented. Ice nuclei were sampled by electrostatic precipitation on silicon wafers and were analyzed in an isothermal static vapor diffusion chamber. The transport of mineral dust is simulated by the Eulerian regional dust model DREAM. Ice nuclei and mineral dust are significantly correlated, in particular IN number concentration and aerosol surface area. The ice nucleating characteristics of the aerosol as analyzed with respect to temperature and supersaturation are similar during the dust episode than during the course of the year. This suggests that dust may be a main constituent of ice nucleating aerosols in Central Europe