Tag Archives: Deficit bugetar
Economic Challenges in the Context of Convergence
The economic crisis showed us that pro-cyclical policies, which Romania was also seduced by, make the recovery more painful. This is why it is important to discuss openly if and why is it worth creating big deficits exactly when the economic situation is good, instead of preserving fiscal space for “hard times”, when the economic expansion will be exhausted.
Decrease taxes, increase spending!, doesn’t feel as sound economic policy
In the past years, almost everything related to economics and economic debate was built on tax initiatives. But economic performance does not simply emerge, by itself, only through changes in taxes. It needs structural accumulation, concrete rules and credibility for the well-functioning of markets, competitively and predictability for the business environment,
In economic policy, policymakers must learn from previous mistakes
It is important that policymakers are aware of previous mistakes and responsible when it comes to economic policy. In the economy, resources are limited, and that’s the reason why we can’t afford to have all at once. National fiscal policies, although they benefit from Parliament’s support, are sometimes against the rules of fiscal governance, which were also adopted by the
Commitment Credits: Long-term Budgetary Trap
The budget for 2017 includes some aspects that were less present in the public debate and expert opinions. These are commitment credits. Unlike all other years, the budget for 2017 comes with a spectacular dynamics of commitment credits, which could at the same time become the main problem of the budgetary situation in the coming years.
Paradoxical Records: from the Champion of Growth to the Champion of Deficits
After Romania registered the highest economic growth among EU countries in 2016, this performance did not even start to be forgotten that, again at European level, there are signs of another record, this time the largest counter-performance in terms of budget slippage. It is symptomatic the way in which, through the pro-cyclical
