Economics, Econometrics and Finance
4 years ago

Unsustainable fiscal policy in Spain threatens public debt stability.

1 view
RePEc: Research Papers in Economics
Evaluating the dynamics of fiscal policy in Spain: patterns of interdependence and consistency of public expenditure and revenues
Francisco de Castro Fernández, José Manuel González‐Páramo, Pablo Hernández de Cos

Paper Summary

The article evaluates if Spain's fiscal policy is sustainable by analyzing the relationship between government spending and revenue. The researchers use tests to see if deficits and debt levels are manageable over time. They also look for connections between revenue and spending patterns. A sustainable fiscal policy means that Spain can handle its debt without issues in the future.

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