Non-Linear Dynamic Models of the Debt to GDP Ratio

In this paper we deal with the problem of modeling the relationship of GDP and the debt of the government. The aim is to examine conditions of the economic system that influence the behaviour of these two macroeconomic variables. As it is known, the EU requires so called Maastricht criteria. We believe that stipulating on concrete level of a given criterion should be supported by the economic theory. We have constructed two dynamic models. Attention is paid to the ways of modeling the relationship