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Macroeconomic Influence Of Fiscal Policy During The Eurointegration Process


  • Roman Kopych

    (Ivan Franko National University of L’viv)


The article investigates the interconnection of budget deficits and main macroeconomic activities of Central European Countries (CEC). The most adequate theoretical instrument, which can explain the phenomena of quick budget’s deficit increasing on the threshold of EU integration, is the model of intertemporal consumption optimization. Econometric estimation of fiscal policy effects was done for five CEC by the period of 1995–2009 using a structural Vector Autoregression approach. Empirical results showed that Poland is the ideal illustration of theoretically foreseen consequences of fiscal policy in the model of intertemporal optimization of consumption.

Suggested Citation

  • Roman Kopych, 2011. "Macroeconomic Influence Of Fiscal Policy During The Eurointegration Process," Ukrainian Journal Ekonomist, Yuriy Kovalenko, issue 12, pages 14-19, December.
  • Handle: RePEc:uje:journl:y:2011:i:12:p:14-19

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