Fiscal Rules and Effective Fiscal Policy

This article examines and assesses the influence of political factors on the effectiveness of pursuing fiscal policy. These factors usually cause and maintain a high budget deficit and public debt. Moreover, the problems of influence of fiscal rules on increased effectiveness of the pursued fiscal policy have been discussed. The fiscal rules are to assure macroeconomic stability in economy and improve credibility of the pursued fiscal policy by reducing the deficit, government spending, and public debt. Examples of applicable fiscal rules in the EU and Poland are presented and an attempt is made to evaluate the effectiveness of these rules in the process of consolidation of public finances.Artykuł poddaje analizie i ocenie wpływ czynników politycznych na efektywność prowadzenia polityki fiskalnej. Czynniki te z reguły przyczyniają się do powstawania i utrzymywania wysokiego deficytu budżetowego i długu publicznego. Ponadto, poruszone zostały problemy wpływu reguł fiskalnych na zwiększenie skuteczności prowadzonej polityki fiskalnej. Reguły fiskalne poprzez ilościowe ograniczenie poziomu deficytu, wydatków rządowych lub długu publicznego mają zapewnić stabilność makroekonomiczną w gospodarce oraz poprawić wiarygodność prowadzonej polityki fiskalnej i redukcję nadmiernego deficytu budżetowego. Zaprezentowane zostały przykłady stosowanych reguł fiskalnych w UE i w Polsce oraz podjęta została próba oceny skuteczności tych reguł w procesie konsolidacji finansów publicznych

State Aid in The European Union in the Period of the Economic Crisis

The global economic crisis has brought about the need for States’ involvement to rescue many business entities from bankruptcy, initially in the financial sector, and at a later stage of the crisis in the real economy. In the countries of the European Union, these measures take the form of state aid, which is specifically regulated as it bestows benefits on its beneficiaries and therefore violates the rules of market competition. Thus, the provision of state aid is controversial, since it potentially adversely affects the competition policy pursued in the EU. This paper aims to analyse and evaluate the volume of state aid granted in the EU countries during the economic crisis and its potential impact on the health of the economy and the public finance sector.Globalny kryzys gospodarczy spowodował konieczność zaangażowania państwa w ratowanie przed bankructwem wielu podmiotów gospodarczych, początkowo w sektorze finansowym, a następnie, w późniejszej fazie kryzysu, także w realnej sferze gospodarki. W krajach Unii Europejskiej działania te przyjmują formę pomocy publicznej, która jest szczegółowo uregulowana, ponieważ oznacza korzyści dla jej beneficjentów, a więc narusza reguły konkurencji rynkowej. W związku z tym udzielanie pomocy publicznej jest kontrowersyjne, gdyż potencjalnie wpływa ona niekorzystnie na politykę konkurencji prowadzoną w UE. Celem artykułu jest analiza i ocena rozmiarów pomocy publicznej udzielanej w krajach UE w dobie kryzysu gospodarczego oraz jej potencjalnego wpływu na kondycję ekonomiczną gospodarek i stan sektora finansów publicznych

ARE FISCAL RULES AN EFFECTIVE INSTRUMENT IN CONSOLIDATING PUBLIC FINANCES? CONCLUSIONS FROM THE ECONOMIC CRISIS

The paper aims to assess the role of fiscal rules in the process of consolidating public finances and maintaining macroeconomic stability in the EU Member States in the period of the economic crisis. The paper puts forward the thesis that fiscal rules were not an effective instrument for ensuring fiscal discipline in times of crisis. It will present the most important issues of the process of evolution of the rules during the crisis. A review and an analysis of legislation and literature on reforms implemented in the area of fiscal rules, confirms this thesis. The paper points to the need to create such fiscal rules that could contribute not only to fiscal stability but also to macroeconomic stability of the economy and concludes with recommendations for the creation of effective fiscal rules and their desirable features. The rules should be based on the structural balance or the over the cycle balance (but, in order for such rules to be effective, the structural deficit should be relatively low). Effective enforcement of the rules is necessary as well as a strong legal basis for the rules. However, one may remember that the efficiency of the rules is also determined by causes and the scope of fiscal problems in individual countries. The rules alone are not sufficient to overcome the strong systemic and structural burdens placed on economies. In such a situation, a better solution is to develop a long-term strategy for reducing deficit and debt levels, incorporating fiscal rules as one of its elements

POMOC PUBLICZNA A POLITYKA KONKURENCJI W UNII EUROPEJSKIEJ W OKRESIE KRYZYSU GOSPODARCZEGO

        The global economic crisis has caused the need for the state involvement in process of rescuing before the bankruptcy of many economic entities, initially in the financial sector, and then, at a later stage of the crisis, also  in the real economy. In the European Union action takes the form of state aid, which is strongly regulated because it means benefits for its beneficiaries, and therefore violates the rules of market competition. Therefore, the provision of state aid is controversial because it potentially affects adversely competition policy pursued in the EU. The purpose of this article is to analyze and assess the impact of the state aid on competition policy in the EU in the times of economic crisis.        Globalny kryzys gospodarczy spowodował konieczność zaangażowania państwa w ratowanie przed bankructwem wielu  podmiotów gospodarczych, początkowo w sektorze finansowym, a następnie, w późniejszej fazie kryzysu, także w realnej sferze gospodarki. W krajach Unii Europejskiej działania te przyjmują formę pomocy publicznej, która jest szczegółowo uregulowana, ponieważ oznacza korzyści dla jej beneficjentów, a więc narusza reguły konkurencji rynkowej. W związku z tym udzielanie pomocy publicznej jest kontrowersyjne, gdyż potencjalnie wpływa ono niekorzystnie na politykę konkurencji prowadzoną w UE. Celem artykułu jest analiza i ocena wpływu udzielanej pomocy publicznej na politykę konkurencji w krajach UE w dobie kryzysu gospodarczego

ARE FISCAL RULES AN EFFECTIVE INSTRUMENT IN CONSOLIDATING PUBLIC FINANCES? CONCLUSIONS FROM THE ECONOMIC CRISIS

The paper aims to assess the role of fiscal rules in the process of consolidating public finances and maintaining macroeconomic stability in the EU Member States in the period of the economic crisis. The paper puts forward the thesis that fiscal rules were not an effective instrument for ensuring fiscal discipline in times of crisis. It will present the most important issues of the process of evolution of the rules during the crisis. A review and an analysis of legislation and literature on reforms implemented in the area of fiscal rules, confirms this thesis. The paper points to the need to create such fiscal rules that could contribute not only to fiscal stability but also to macroeconomic stability of the economy and concludes with recommendations for the creation of effective fiscal rules and their desirable features. The rules should be based on the structural balance or the over the cycle balance (but, in order for such rules to be effective, the structural deficit should be relatively low). Effective enforcement of the rules is necessary as well as a strong legal basis for the rules. However, one may remember that the efficiency of the rules is also determined by causes and the scope of fiscal problems in individual countries. The rules alone are not sufficient to overcome the strong systemic and structural burdens placed on economies. In such a situation, a better solution is to develop a long-term strategy for reducing deficit and debt levels, incorporating fiscal rules as one of its elements

No evidence for reproductive isolation through sexual conflict in the bulb mite Rhizoglyphus robini

Sexual conflict leading to sexual antagonistic coevolution has been hypothesized to drive reproductive isolation in allopatric populations and hence lead to speciation. However, the generality of this speciation mechanism is under debate. We used experimental evolution in the bulb mite Rhizoglyphus robini to investigate whether sexual conflict promotes reproductive isolation measured comprehensively to include all possible pre- and post-zygotic mechanisms. We established replicate populations in which we either enforced monogamy, and hence removed sexual conflict by making male and female evolutionary interests congruent, or allowed promiscuity. After 35 and 45 generations of experimental evolution, we found no evidence of reproductive isolation between the populations in any of the mating systems. Our results indicate that sexual conflict does not necessarily drive fast reproductive isolation and it may not be a ubiquitous mechanism leading to speciation