Consolidation of Agricultural Subsidies: Effects and Relations with Fiscal Federalism

Student: Sviridov Artem

Supervisor: Carol Scott Leonard

Educational Programme: Public Administration (Master)

Year of Graduation: 2017

The thesis analyses the recent changes in the system of agricultural support in Russia, considering the merger of a set of categorical subsidies to sub-national budgets in the form of a block grant ‘for reaching the target agricultural indicators’. In the first chapter the author overviews several cases of block grants in different countries, summarizing known advantages and disadvantages of block transfers. The second chapter analyses the consolidation of agricultural support, including the regional rebalance of benefits and the quality of the design of the new block grant. The third chapter contains an estimate of fiscal effect from consolidation: according to the model applied, it is going to be no more than 0.59 bn RUR in 2017.

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