Budgetary policies during recessions. Retrospective application of the "stability and growth pact" to the post-war period. Economic Papers No. 121, May 1997
Over recent years, the budgetary policies carried out by Western countries during the
Post-War period have been analysed extensively in the literature. Several studies have
pointed to the interaction of economic and political factors and underlined the important
role of institutions and procedures in shaping policies and outcomes1. Considerable
attention has been devoted to budgetary consolidation processes, with some studies
emphasising the role of the composition of budgetary measures in determining the
success of these policies2.
The purpose of this paper is to analyse budgetary policies carried out during and after
severe recessions, an issue which the above-mentioned literature has not yet focused
upon
