Fiscal rules in EU boost sustainability, curb procyclicality, and enhance ownership.
The article looks at how budget rules affect public finances in the European Union. Fiscal rules have helped make EU countries' finances more stable, less influenced by economic cycles, and more controlled by national governments. Researchers used different methods to see how certain factors affect fiscal decisions. Most studies focused on EU countries, which have similar fiscal rules. The types of rules studied varied among researchers. The findings suggest that fiscal rules have improved fiscal sustainability and national control over budgets in the EU.