Beyond fiscal rules: How domestic fiscal frameworks can contribute to sound fiscal policy

a column by Lucio R Pench, Stefan Ciobanu, Marcin Zogala and Cristiana Belu Manescu for VOX: CEPR’s Policy Portal

Much of the debate on fiscal discipline and policy has focused on fiscal rules and their appropriate design.

Using recent work by the European Commission on national fiscal frameworks in the EU member states, this column shows that other elements of the fiscal framework are just as important as national fiscal rules for fiscal discipline. Independent monitoring of compliance, more realistic macroeconomic and budgetary forecasts, comprehensive and timely fiscal statistics and medium-term fiscal planning are also key for fiscal discipline in the EU.

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