Acta Univ. Agric. Silvic. Mendelianae Brun. 2004, 52, 97-106
Published online 2015-06-17

Stability and Growth Pact – critical analysis and perspectives of the future development

Robert Plaga1, Hubert Smekal2

1Ústav financí, Mendelova zemědělská a lesnická univerzita v Brně, Zemědělská 1, 613 00 Brno, Česká republika
2Katedra Mezinárodních vztahů a evropských studií, Masarykova univerzita v Brně, Údolní 53, 602 00 Brno, Česká republika

This working paper seeks to define perspectives of the functioning of the Stability and Growth Pact as a tool for regulation of national fiscal policies through analysis and description of legal acts regarding the Pact and through analysis and statistical evaluation of the compliance of the EMU States with requirements for fiscal discipline. The first part brings the description of the Pact's functioning mechanism and defines its weaknesses (e.g. extensive role of the Council). The second part tries to analyse and statistically evaluate how the Member States complied with the provisions of the Pact during the years 1999-2003. The results are compared with the most mentioned shortcomings of the Pact. In the concluding part the paper discusses proposals for a change of the Pact and tries to estimate perspectives of its functioning in the future.


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