Public spending in EU countries has shifted from investing in things like infrastructure and schools to more consumption expenditure. This change is influenced by both economic cycles and long-term fiscal policies. When governments tighten their budgets, they tend to increase investment relative to consumption, while loosening budgets lead to more spending on consumption. However, the increase in investment after budget cuts is usually smaller than the increase in consumption after budget increases. Different types of public investment, like infrastructure and redistribution, respond to economic cycles, while investments in hospitals and schools are more affected by long-term fiscal policies.