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The quota and criterion of economic and financial autonomy according to the Judgment of the Court of Justice of the European Communities of September 11, 2008

The quota and criterion of economic and financial autonomy according to the Judgment of the Court of Justice of the European Communities of September 11, 2008

Economic autonomy, tax-sharing system, Economic Agreement, infrastate entities, European Court of Justice.

JOSÉ RUBÍ CASSINELLO

The ruling handed down on 11 September, 2008 by the European Court of Justice has finally clarified what the requirement of autonomy is, in particular economic autonomy, which the infrastate entities must meet so as to adopt discriminate measures within the domestic sphere of their own territory; and, at the same time, placing at the centre of the debate the so-called “unilateral risk”, which is one of the most recognizable features of the peculiar financing system of the Basque Country, via the tax-sharing system, and which involves the assumption of the reduction in funding resulting from the adopted measures and therefore, the lack of any compensation whatsoever compensation due to that reduction.

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