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Non-Keynesian effects of Government Spending: Some implications for the Stability and Growth Pact

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  • Neicheva, Maria

Abstract

The paper focuses on the non-Keynesian effects of fiscal policy, specifically government expenditure on output in Bulgaria. The main finding of the study is that the size of the fiscal impulse is the most important determinant of the non-Keynesian outcome. Also, the results imply that the “balanced-budget rule” does not automatically assure growth; the regulations regarding the budgetary categories themselves should also be considered.

Suggested Citation

  • Neicheva, Maria, 2007. "Non-Keynesian effects of Government Spending: Some implications for the Stability and Growth Pact," MPRA Paper 5277, University Library of Munich, Germany.
  • Handle: RePEc:pra:mprapa:5277
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    File URL: https://mpra.ub.uni-muenchen.de/5277/1/MPRA_paper_5277.pdf
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    References listed on IDEAS

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    Cited by:

    1. Paweł Borys & Piotr Ciżkowicz & Andrzej Rzońca, 2014. "Panel Data Evidence on the Effects of Fiscal Policy Shocks in the EU New Member States," Fiscal Studies, Institute for Fiscal Studies, vol. 35, pages 189-224, June.
    2. Mikek, Peter, 2008. "Alternative monetary policies and fiscal regime in new EU members," Economic Systems, Elsevier, vol. 32(4), pages 335-353, December.

    More about this item

    Keywords

    Fiscal policy; Non-Keynesian effects; balanced-budget rule; Stability and Growth Pact;

    JEL classification:

    • E62 - Macroeconomics and Monetary Economics - - Macroeconomic Policy, Macroeconomic Aspects of Public Finance, and General Outlook - - - Fiscal Policy

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