One of the often discussed negative aspects of the Stability and Growth Pact is the rigidity of its deficit rule. Several reform proposals aim currently at alleviating the rule in order to allow the automatic stabilizers to operate freely. However, such a reform is likely to cause even further...

Aim of this paper is to assess empirically the sustainability of budgetary policy in Poland in Years 1992-2005. Our results show that structural surplus did not respond in a way that would stabilize the level of public debt, thus not fulfilling the condition of sustainability. It also showed...

One of the often discussed negative aspects of the Stability and Growth Pact is the rigidity of its deficit rule. Several reform proposals aim currently at alleviating the rule in order to allow the automatic stabilizers to operate freely. However, such a reform is likely to cause even further...