Izvorni znanstveni članak
https://doi.org/10.18045/zbefri.2019.2.527
Effects of fiscal consolidation in Western Balkan Countries
Milenko Krajišnik
; Univerzitet u Banjaluci, Ekonomski fakultet, Bosna i Hercegovina
Dragan Gligorić
orcid.org/0000-0002-7171-8699
; Univerzitet u Banjaluci, Ekonomski fakultet, Bosna i Hercegovina
Biljana Gojković
orcid.org/0000-0003-3297-948X
; Fiskalni savjet Republike Srpske
Sažetak
The global economic crisis has not spared the countries of the Western Balkans. The ensuing recession, characterized by a decline in economic activity, a decline in consumption and an increase in unemployment, went hand in hand with drops in public revenues. This in turn resulted in budget imbalances that manifested in structural budget deficits and higher public debt. Fiscal consolidation was deemed necessary across the board. In this process, certain fiscal policy elements varied among countries. The structure of public revenues and public expenditures changed. The question is whether the fiscal consolidation was successful and to what extent. Dynamic panel analysis using PMG estimator in six Western Balkan Countries for the period 2004-2016 has shown that fiscal consolidation has positive impact on economic growth in this region. So, Western Balkan Countries have to conduct responsible public finances in order to encourage economic growth.
Ključne riječi
GDP; budget deficit; fiscal consolidation
Hrčak ID:
231295
URI
Datum izdavanja:
27.12.2019.
Posjeta: 1.649 *