In February 2000, the Austrian Federal Government set itself the target of achieving a balanced budget by 2002. A domestic stability pact was agreed that specified the budget performance to be achieved by the central, regional and local authorities. To this end, a comprehensive consolidation...

After four years of membership in the European Union, an interim balance can be drawn as follows: Austrian businesses and the country's economic policy had to adapt to the new regime of the single market. This meant on the one hand that the government had to cede economic policy competences to...