Budgetary aspects in the activity of local governments (the case of the Novosibirsk region)

The paper shows the formation of the financial base of local governments and proposes procedures for the analysis of the structure of budgets, of their stability and efficiency of the sub-federal budgetary policy. The estimations are made on the case of the Novosibirsk region: its structure of local budgets, variance between budgetary indicators before and after allocations from the regional budget. The areas influencing the variance with account of allocations from a higher level budget have been identified and relationship between non-return transfers and obtained incomes analyzed. The marginal effect from increased taxes going to local budgets has beens estimated.