The problem of budgetary deficit in modern economies
A surplus of expenditure over revenues in the government budget is called a budgetary deficit. Budgetary deficit, in itself, is not a negative thing. If the budgetary deficit allows full employment and helps reaching economic policy goals, there is full understanding for having a budgetary deficit....
| Main Author: | |
|---|---|
| Format: | Article |
| Language: | srp |
| Published: |
University Business Academy - Faculty of Economics and Engineering Management, Novi Sad, Serbia
2017-01-01
|
| Series: | Ekonomija: teorija i praksa |
| Subjects: | |
| Online Access: | https://scindeks-clanci.ceon.rs/data/pdf/2217-5458/2017/2217-54581701027S.pdf |
| _version_ | 1818927998048403456 |
|---|---|
| author | Stanulović Milana |
| author_facet | Stanulović Milana |
| author_sort | Stanulović Milana |
| collection | DOAJ |
| description | A surplus of expenditure over revenues in the government budget is called a budgetary deficit. Budgetary deficit, in itself, is not a negative thing. If the budgetary deficit allows full employment and helps reaching economic policy goals, there is full understanding for having a budgetary deficit. Budgetary deficit of the Republic of Serbia has shown an increasing tendency in the period 2005-2016. After this period, budgetary deficit has started to decrease as a result of fiscal consolidation measures. Besides avoiding the negative consequences of a budgetary deficit, Serbia has to maintain its budgetary deficit at a level below 3% of GDP, because that is a requirement for joining the European Union. This also applies to countries which are already members of the EU, but they have the right to short term deviations during the economic crisis. The European Union uses these rules to maintain fiscal discipline. By comparing budgetary deficits of the developed and developing countries, we can see a big difference in levels of deficits. Developed countries have higher deficits in the first years of economic recession, while the developing countries' budgets show economic crisis consequences in the subsequent years. The reasons for that lie in crisis overflow channels, thanks to which the developed countries were the first to experience crisis, and only later it affected the developing countries, too. |
| first_indexed | 2024-12-20T03:21:55Z |
| format | Article |
| id | doaj.art-08c84da898f44a759666af425ceb0f72 |
| institution | Directory Open Access Journal |
| issn | 2217-5458 2620-0228 |
| language | srp |
| last_indexed | 2024-12-20T03:21:55Z |
| publishDate | 2017-01-01 |
| publisher | University Business Academy - Faculty of Economics and Engineering Management, Novi Sad, Serbia |
| record_format | Article |
| series | Ekonomija: teorija i praksa |
| spelling | doaj.art-08c84da898f44a759666af425ceb0f722022-12-21T19:55:11ZsrpUniversity Business Academy - Faculty of Economics and Engineering Management, Novi Sad, SerbiaEkonomija: teorija i praksa2217-54582620-02282017-01-0110127432217-54581701027SThe problem of budgetary deficit in modern economiesStanulović Milana0NišA surplus of expenditure over revenues in the government budget is called a budgetary deficit. Budgetary deficit, in itself, is not a negative thing. If the budgetary deficit allows full employment and helps reaching economic policy goals, there is full understanding for having a budgetary deficit. Budgetary deficit of the Republic of Serbia has shown an increasing tendency in the period 2005-2016. After this period, budgetary deficit has started to decrease as a result of fiscal consolidation measures. Besides avoiding the negative consequences of a budgetary deficit, Serbia has to maintain its budgetary deficit at a level below 3% of GDP, because that is a requirement for joining the European Union. This also applies to countries which are already members of the EU, but they have the right to short term deviations during the economic crisis. The European Union uses these rules to maintain fiscal discipline. By comparing budgetary deficits of the developed and developing countries, we can see a big difference in levels of deficits. Developed countries have higher deficits in the first years of economic recession, while the developing countries' budgets show economic crisis consequences in the subsequent years. The reasons for that lie in crisis overflow channels, thanks to which the developed countries were the first to experience crisis, and only later it affected the developing countries, too.https://scindeks-clanci.ceon.rs/data/pdf/2217-5458/2017/2217-54581701027S.pdfbudgetary deficitpublic debteconomic crisismodern economiesdeveloped countriesdeveloping countries |
| spellingShingle | Stanulović Milana The problem of budgetary deficit in modern economies Ekonomija: teorija i praksa budgetary deficit public debt economic crisis modern economies developed countries developing countries |
| title | The problem of budgetary deficit in modern economies |
| title_full | The problem of budgetary deficit in modern economies |
| title_fullStr | The problem of budgetary deficit in modern economies |
| title_full_unstemmed | The problem of budgetary deficit in modern economies |
| title_short | The problem of budgetary deficit in modern economies |
| title_sort | problem of budgetary deficit in modern economies |
| topic | budgetary deficit public debt economic crisis modern economies developed countries developing countries |
| url | https://scindeks-clanci.ceon.rs/data/pdf/2217-5458/2017/2217-54581701027S.pdf |
| work_keys_str_mv | AT stanulovicmilana theproblemofbudgetarydeficitinmoderneconomies AT stanulovicmilana problemofbudgetarydeficitinmoderneconomies |