Fiscal policy refers to the use of government spending and tax policies to influence economic conditions. In the EU fiscal policy is set and managed by national governments but coordinated at the supranational level. Next to monetary and structural policies it the main macroeconomic instrument used to achieve a country's economic goals and a smooth functioning of the Economic and Monetary Union.
This course will teach you the key concepts behind fiscal policy; how it can and is used to impact a country's economy, and how fiscal policies are organised and coordinated in the EU. The course will also look at the origins, the evolution and the future of the EU’s fiscal framework.
This course complements and builds one the one by Prof. L. Codogno on European Macroeconomic Policy. It draws on the same mainstream macroeconomic framework to outline key concepts of fiscal policymaking in general and in the EU in particular.
- Introduction and overview
- Fiscal policy in mainstream macro models
- Fiscal policy in practice /political economy
- Government debt and sustainability
- Fiscal policy in an open economy
- Fiscal Policy in the EU (OCA)
- The EU fiscal framework: institutions and rules
- Taxation in the EU: governance and outcomes