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Theoretical and Applied Economics
No. 2 / 2011 (555)

Effects of the Current Economic Crisis on the Fiscal Variables in EU Countries

Iulian Viorel BRAŞOVEANU
Bucharest Academy of Economic Studies
Bucharest Academy of Economic Studies

Abstract. Our paper aims to capture the effects of the current economic and financial crisis on fiscal variables, the 27 EU Member States, based on macroeconomic developments until 2010 and projected for 2011. Starting from the economic recession, from the increase of unemployment and the relative stability of prices in the EU overall (macroeconomic developments that characterize the current crisis), we analyze the effects of those developments on the public revenues and expenditures, on the conventional deficit and public debt, which are macroeconomic variables that comprise the pentagon of economic macro stabilization.

Keywords: economic recession; unemployment; inflation; budgetary deficit; public debt.

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