In this study, we analyse the sustainability of fiscal policy of EU member countries within the panel cointegration and error-correction frameworks. Unlike the previous empirical papers in this area, we apply the test for panel cointegration between the primary budget deficit and the public debt...

This paper surveys the empirical research on fiscal institutions of the last three decades. The main results are: (i) Constitutional or statutory fiscal limitations have in most cases proved to be effective in cutting down public expenditure, revenue, and debt. (ii) Budgetary proce-dures matter...

We first show three major disagreements among today’s leading economists: the minimum wage, the effects of large government debt and the politics of the European Central Bank. Using a prominent and highly relevant example, the possible deterrent effect of death penalty, we demonstrate how...