This paper illustrates why a tough fiscal policy in East Europe may be rethought. Western economic policy theories may be fashionable but sometimes fail when applied to transition economies. It is advanced a new proposal for guiding fiscal policy where top priority is given to the ratio...

This paper is about a perspective East-West European partnership in a framework of coordinated economic policies, especially monetary policy, and a single monetary authority. The data on inflation and the service sector used to test the degree of convergence of 15 European economies versus...