The political economy of financing Scottish government : considering a new constitutional settlement for Scotland Can the UK survive widespread dissatisfaction in both Scotland and England with the financing of public spending by Scotlands parliament This timely book explains how fiscal autonomy could raise economic growth and efficiency in Scotland to the benefit of both Scotland and the rest of the United Kingdom. The authors discuss how other reform proposals which amount to cutting Scotlands block grant would fail as they would not be seen in Scotland as legitimate. They conclude that fiscal autonomy would be accepted as it reduces Scotlands democratic deficit in public spending and would go a long way toward reducing vertical and horizontal imbalances in the UK 1. Introduction 2. Searching for a politically and economically rational public funding model for Scotland 3. The economic case for fiscal devolution 4. Objectives of an effective fiscal federal system 5. Fiscal federalism : a Scottish perspective 6. The case for Scottish fiscal autonomy 7. A restatement of the case for Scottish fiscal autonomy 8. Fiscal devolution in some other countries 9. Empirical evidence : tax devolution and prosperity 10. A separate currency for Scotland 11. Conclusion