LESSONS OF THE BUDGET FEDERALISM: 20 YEARS OF REFORMS

Abstract

The article discusses theoretical and applied aspects of the budgetary federalism formation in Russia during past two decades. The author comes to the conclusion that for the development of the budgetary federalism, which provides a real social impact of the budgetary policy, it’s necessary to redefine the under s t a ndi n g of i ndependence of the subjects of the Rus sian Federation. T he effectiveness of budget expenditures is derived from the actually realized public policy of the balanced regional development as the key principle of the budgetary feder al ism. T he per spective of refor m i n g the acti n g budgetar y federalism model depends on the elaboration of financial instruments, ensuring the realization of the compromise of interests of the state and the society, which is based on the provision of conditions for the self-development of regions.