Skip Navigation

This Article
Right arrow Full Text (PDF)
Right arrow Alert me when this article is cited
Right arrow Alert me if a correction is posted
Services
Right arrow Email this article to a friend
Right arrow Similar articles in this journal
Right arrow Similar articles in ISI Web of Science
Right arrow Alert me to new issues of the journal
Right arrow Add to My Personal Archive
Right arrow Download to citation manager
Right arrow Search for citing articles in:
ISI Web of Science (8)
Right arrowRequest Permissions
Google Scholar
Right arrow Articles by Budina, N
Right arrow Articles by van Wijnbergen, S
Right arrow Search for Related Content
Related Collections
Right arrow E62 - Fiscal Policy
Right arrow P35 - Public Economics
Social Bookmarking
Add to CiteULike   Add to Connotea   Add to Del.icio.us  
What's this?

Oxf Rev Econ Policy 1997; 13:47-64
© 1997 Oxford University Press and Oxford Review of Economic Policy Ltd

Article

Fiscal policies in Eastern Europe

N Budina0
S van Wijnbergen1
0 Tinbergen Institute
CERGE-Ei
1 University of Amsterdam
CEPR, The Netherlands

Abstract

We focus on the role of fiscal policies in macroeconomic stabilization in eastern Europe and assess the sustainability of fiscal policies for the central and eastern European economies in transition. We show the main causes of fiscal imbalances experienced at the beginning of the transition process. Countries that adopted tight fiscal policies were more successful with their inflation stabilization programmes, have experienced a faster recovery of growth, and did not experience a steeper decline in output. Countries with unsustainable fiscal policies all floated their exchange rate, but there are both floating and peg arrangements among the successful stabilizers. In all the successful cases, however, current account convertibility was established. We also discuss the experience of Poland and Romania - two polar cases in terms of fiscal policies and present lessons and policy recommendations for other economies in transition.


Add to CiteULike CiteULike   Add to Connotea Connotea   Add to Del.icio.us Del.icio.us    What's this?




Disclaimer: Please note that abstracts for content published before 1996 were created through digital scanning and may therefore not exactly replicate the text of the original print issues. All efforts have been made to ensure accuracy, but the Publisher will not be held responsible for any remaining inaccuracies. If you require any further clarification, please contact our Customer Services Department.