The paper is concerned with the evolution of public finance in central and eastern Europe countries (CEEC) since the beginning of the 2000s, focusing on its growth effects. We first present some theoretical points studying the impact of fiscal policy on growth. Then, a data analysis...

The endogenous growth literature established the existence of an inverted-U curve between taxes and economic growth, namely a Growth Laffer Curve, but empirical evidence on this relationship in developing countries is rather limited. Given that seigniorage and public debt are also important...

In this paper, we look for long-run and short-run effects of fiscal deficits on economic growth in an endogenous growth model with productive public spending that may be financed by public deficit and debt. The model shows a multiplicity of long-run balanced growth paths (a high-growth and a...