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Barriers to expansive fiscal policy against the background of the macroeconomic situation of the euro area

Dariusz Malinowski ()
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Dariusz Malinowski: Warsaw School of Economics

Ekonomia i Prawo, 2017, vol. 16, issue 1, 87-105

Abstract: Aim: In the article, the Author analyses the possibilities of instituting an expansive fiscal policy in individual euro zone countries. In addition, barriers to effective transmission of fiscal expansion to the level of real output in the euro zone economy will be identified against the background of economic theory. Results: The Author also show how the implementation of different strategies of monetary policy and exchange rate policy affect the effectiveness of the growth of the budget deficit in its impact on the economic growth rate.

Keywords: budget deficit; public debt; expansive fiscal policy (search for similar items in EconPapers)
JEL-codes: E6 H6 (search for similar items in EconPapers)
Date: 2017
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Handle: RePEc:cpn:umkeip:v:16:y:2017:i:1:p:87-105