Contents of the volume

2017, Volume 70 - Issue 1

ISSN: 2499-8265
RSS feed citation: At RePEc
Publication date: 01 February 2017

THE RELATIONSHIP BETWEEN SAVINGS AND ECONOMIC GROWTH AT THE DISAGGREGATED LEVEL

Lumengo Bonga-Bonga, Nomvuyo GUMA

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MONETARY POLICY TRANSMISSION OVER THE REAL SECTOR OF BANGLADESH ECONOMY: AN SVAR APPROACH

Abdur Rahman Forhad, Ghassem A. Homaifar, Abul Hasnat Muhammed Salimullah

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REMITTANCES AND FOREIGN AID AS SOURCES OF EXTERNAL DEVELOPMENT FINANCE: IMPACTS ON SAVINGS AND INVESTMENT IN POST-WAR LEBANON

Bassam Hamdar, Samer Nouayhid

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THE DYNAMIC CAUSAL LINKAGE BETWEEN FINANCIAL DEVELOPMENT AND ECONOMIC GROWTH: EMPIRICAL EVIDENCE FROM ETHIOPIA

Sheilla Nyasha, Yvonne Gwenhure, Nicholas M. Odhiambo

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TESTING FISCAL SUSTAINABILITY IN THE TRANSITION ECONOMIES OF EASTERN EUROPE: THE CASE OF POLAND (1999-2015)

Marco Tronzano

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Genoa Chamber of Commerce
Economia Internazionale / International Economics

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Corresponding author

Marco TRONZANO, Università degli Studi di Genova, Dipartimento di Economia e Metodi Quantitativi, Genova, Italia

Testing Fiscal Sustainability in the Transition Economies of Eastern Europe: The Case of Poland (1999-2015)

Pages

103-132

Abstract

This paper reassesses the sustainability of public finances in Poland during the last two decades, characterized by the end of the macroeconomic stabilization phase and the implementation of several structural reforms. Cointegration tests allowing for regime-shifts reveal that fiscal policy is “weakly” sustainable, due to a significant divergence between revenues and expenditures in more recent years. Moreover, different from earlier research, I find strong support for bi-directional causality between revenues and expenditures. The main policy implication is that, in order to qualify for EMU membership, Poland should pursue further fiscal consolidation in the years ahead, implementing a more balanced fiscal-mix between revenue enhancement and expenditure reduction measures.

JEL classification

C22, E62, H62

Keywords

Fiscal Sustainability, Transition Economies, Poland, Cointegration, Regime Shifts

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