Privredna federacija ili konfederacija
Economic Federation or Confederation

Summary/Abstract: Socialist Yugoslavia is founded upon two contradictory principles — socialism and federalism. While the first one requires centralization and autoritarianism, the second presupposes autonomy and liberality. Socialism results in a bancrupt economy and bancrupt stale; therefore, abandoning it does not at the same time mean that either federalism or confederalism is being affirmed. A presupposition for their affirmation is that principles of legal autonomy and liberal freedoms should be pushing back socialist principles. It is the author’s position that there are no essential differences between federation and confederation. Their economic aspect relates to tax union, monetary union, and fiscal devolution, the difference being that in the ease of a confederation these questions are settled through contracts and in that of a federation they are comprised in the constitution.

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