Abstract
This paper evaluates the accuracy of municipal budgets and their major components and explores the factors influencing tax revenue forecasting errors in municipalities with extended scope between 2002 and 2011 using the generalised method of moments. Tax forecasting errors are influenced by the economic situation and structure of tax revenue. Higher underestimation is observed in municipalities with incremental revenue forecasting. The impact of political factors is quite strong: municipalities with more fragmented municipal councils approve more optimistic tax revenue forecasts and forecasts are more optimistic in election years.
Sign-in/Register to access full text options 
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a callMore From: Ekonomická revue - Central European Review of Economic Issues
Disclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.
