Public Finances in Support of Growth in the EU Mediterranean Partner Countries

Until the early 1990s, the discussions on fiscal policy primarily centered on the functions of economic stabilization, income redistribution and resource allocation. Long-term growth was not usually viewed as an end itself, and fiscal policy was often not sufficiently tailored to the different circumstances and priorities of countries at different stages of development. It is only relatively recently that the discussion has gradually focused on the links between different dimensions of quality of public finances and economic growth.

Based on the conceptual framework for linking the quality of public finances and economic growth that has been developed by the European Commission and applied to the EU Member States, CASE Network Report 94 "Study on Quality of Public Finances in Support of Growth in the Mediterranean Partner Countries of the EU", examines the conditions under which the budgetary policy, and more specifically expenditure, revenue and financing design would be supportive of growth in the Mediterranean partner countries of the European Union

The report contains findings from a project completed by CASE and funded by the European Commission DG ECFIN.