This paper reviews the macroeconomic use of national fiscal policy within the European Economic and Monetary Union and the effect the discretionary fiscal policy has on the economic activity. It also considers the difference between policy intentions, as formulated or perceived in real time, and...

The reserve requirements are playing an important role among the monetary policy instruments. Often, the credit institutions are required to hold minimum reserves in order to be able to answer to their liabilities, these being kept in accounts opened at the national central banks. The frequent...