The horizontal fiscal imbalance that arises in a fiscal federation is also called:

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The horizontal fiscal imbalance in a fiscal federation refers to disparities in revenue-generating capacities and expenditure needs among different regions or states. The term "problem of equalisation" is used to describe efforts to address these imbalances, typically through mechanisms like grants or revenue sharing, aiming to ensure a more equitable distribution of financial resources across the federation.

The Horizontal Fiscal Imbalance That Arises in a Fiscal Federation