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MUNICIPAL FISCAL COMPETITIVENESS AND ITS EVALUATION

100%
Rupliene D., Garšviene L., Rudyte D.
Sociālo Zinātņu Vēstnesis
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2016
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issue 2
45-63
EN
The competitiveness of regions is discussed in the scientific literature differently, but still no consensus on the concept of regional competitiveness. In this article, the authors aim to evaluate municipalities’ fiscal competitiveness and its determinants in Lithuania. There are scientific researches that assess regional competitiveness applying the concept of fiscal competitiveness, but such researches focus only on the calculation of competitiveness indices, including tax collection and public spending indicators as one of the components. The article characterizes the region’s fiscal competitiveness and determines the channels of the impact on the regional economic growth, as well as evaluates determinants of Lithuanian municipal revenues and expenditures. Authors applied the research methods as analysis, synthesis, comparison, grouping, generalization, description, and cluster analysis. In the article, the concept of fiscal competitiveness and its place within the regional competitiveness concept was analysed. As a result, two aspects of regional competitiveness in terms of the concept of fiscal competitiveness were defined: the municipality’s ability to collect revenues to the budget as much as possible and the municipality’s ability to distribute expenditures as efficiently as possible in order to ensure economic growth. In addition, basic determinants of municipalities’ fiscal competitiveness were defined: institutional environment, local and foreign investments, human capital, society entrepreneurship, formation of companies’ clusters. The dynamic and structural analysis of Lithuanian municipal budget revenues showed that four resort municipalities and three municipalities of the largest cities are in the “top 10” by the budget revenues. The assessment of the highest budget expenditures per capita showed that there are three resort municipalities and four border municipalities in the “top 10”. Additionally, the one municipality as in the case of budget revenue - Neringa, occupied the first place in terms of budget expenditure per capita. The results of cluster analysis using two indicators related to budget revenues and expenditures, showed that municipalities, which collect the lowest revenues and have minimal expenditures, demonstrate similarities in terms of analysed indicators. At the same time, similarities between leaders by budget revenues and expenditures have not been observed. The research is funded by the Research Council of Lithuania according to project “The evaluation of municipalities’ fiscal competitiveness in the context of economic growth” Nr. MIP- 013/2015.
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ASSESSMENT OF FUNCTIONAL EFFECTIVENESS OF THE LONG-TERM SOCIAL CARE INSTITUTIONS IN LATVIA’S MUNICIPALITIES BY THE DATA ENVELOPMENT ANALYSIS METHOD

88%
Edgars S., Zhanna T., Rita K.
Sociālo Zinātņu Vēstnesis
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2019
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issue 2
65-85
EN
Social protection is one of the most important functions of the state and local governments in relation to their citizens, especially to those who are in difficulty, affected by various diseases and the elderly ones. Municipalities in Latvia function at different economical levels that are determined by geopolitical, socio-economic, demographic, etc. factors that in turn affect the performance of various functions by local governments. One of these functions is the provision of long-term social care services to retired people. In circumstances, when local government finances are limited and the demographic structure is changing, characterized by an aging population, it is important to achieve the most effective use of financial resources in the longterm social care institutions (LSCIs). The functional effectiveness of the LSCIs in the context of the use of financial resources using science-based econometric methods has not been evaluated in Latvia by now, therefore the aim of the study is to determine the most effective LSCI as for criteria taking the indicators of financial and other available resources of the currently functioning local government LSCIs. Within the framework of this study, the authors, using data from the Ministry of Welfare of the Republic of Latvia on the LSCIs of the elderly, are evaluating the functional effectiveness of these institutions using the Data Envelopment Analysis (DEA) method. After analysis of the functional effectiveness of 64 LSCIs by designing four DEA models, the authors identified the most effective LSCI - Ventspils Social Care Home “Selga” and Viļaka Social Care Center. The novelty of the research is the authors’ approach to assessing the functional effectiveness of the Latvian LSCIs using the DEA method, that allows to identify the most important parameters for the assessment of LSCIs functional effectiveness to ensure the stability of the social care field in Latvia.
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