BUDGETARY-FISCAL POLICY – INSTRUMENT FOR STIMULATING ECONOMIC GROWTH

Abstract

Budgetary-fiscal policy is a form of indirect state intervention in the economy, applicable on the market of goods and services, intervening mainly to the adjustment of internal macroeconomic imbalances. It is the policy of managing imbalances, which aims through economic macro-stabilization sizing taxes (duties) and government spending. Budgetary-fiscal policy, through its actions, aims to stimulate economic activity, investment, social protection, as well as to support a moral/legal principle that requires respect for everyone’s rights in the individual contribution to the formation of income. In this paper we intend to analyze the budgetary-fiscal policy in the Republic of Moldova, how it is applied by public authorities in order to ensure sustainable economic growth.

Keywords

• budgetary-fiscal policy
• budgetary revenues
• budgetary expenditures
• aggregate demand
• gross domestic product (gdp)
• budget deficit
• public debt