Reguły fiskalne wzrostu wydatków - ujęcie nominalne czy realne?

• Authors: Michał Mackiewicz

Title variants

EN

Fiscal Rules of Expenditure Growth - A Nominal or Real Approach?

• Languages of publication: PL

Abstracts

EN

The aim of this study is to analyse chances for pursuing short-term anticyclical policy under conditions of fiscal policy rules applied to expenditure growth. Two versions of expenditure rules are analysed, differing from each other in terms of assumptions concerning the growth rate of prices. The consequences of applying both versions to short-term stabilisation of the economy are examined on a basis of a simple AS-AD model. The analysis indicates that under conditions of demand shocks the nominal approach to the rise in expenditure has a stronger stabilising effect on both the product and price levels. Under conditions of supply shocks the real-terms approach to the rise in expenditure proves more effective for stabilisation of the production level. This, however, takes place at the expense of more intensive price fluctuations.

• Publisher: Szkoła Główna Handlowa w Warszawie. Kolegium Analiz Ekonomicznych
• Journal: Gospodarka Narodowa. The Polish Journal of Economics
• Year: 2003
• Volume: 187
• Issue: 10
• Pages: 1-20

Dates

published

2003-10-25

Contributors

author

Michał Mackiewicz

Identifiers

DOI

10.33119/GN/113806