Constitutionalisation of Fiscal Rules in Times of Financial Crises – a Cure or a Trap?

Łukasz Kielin

Constitutionalisation of Fiscal Rules in Times of Financial Crises – a Cure or a Trap?

Publication date: 30.06.2021

Financial Law Review, 2021, Issue 22 (2)/ 2021, pp. 94-112

https://doi.org/10.4467/22996834FLR.21.014.13982

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Constitutionalisation of Fiscal Rules in Times of Financial Crises – a Cure or a Trap?

Abstract

The global financial crisis of 2008 undoubtedly had a significant impact on the constitutional regulation of economic and financial matters. As a consequence of economic downturn six EU Member States (Germany, Spain, Slovakia, Slovenia, Italy and Hungary) have amended their constitutions. With economic crisis caused by global pandemic of, the new discussion about constitutional fiscal policy rules is expected. New economic downturn is one of the most important challenges for the constitutional fiscal rules, which undoubtedly will verify their functioning and effectiveness.
The main purpose of this paper is to find out if constitutional fiscal policy rules is a cure or trap in times of financial crisis. According to the hypothesis adopted, constitutional fiscal rules can be an effective tool. The article has the following structure. In the first and second part I describe constitutional fiscal rules. The third part concerns the method of constitutionalisation. Subsequently, I am focus on effectiveness of constitutional fiscal policy rules. The last part of the article contains conclusions.

Keywords

budget, public finances, Constitution, fiscal policy rules, debt rule

References

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Information

Information: Financial Law Review, 2021, Issue 22 (2)/ 2021, pp. 94-112

DOI: https://doi.org/10.4467/22996834FLR.21.014.13982

Article type: Original article

Authors

Łukasz Kielin

https://orcid.org/0000-0003-0046-9477

University of Gdansk, Faculty of Law and Administration, University of Gdansk
Poland

Published at: 30.06.2021

Article status: Open

Licence: CC BY-NC-ND 3.0 Unported

Percentage share of authors:

Łukasz Kielin (Author) - 100%

Classification number:

JEL Classification System:

Fiscal Policy | Modern Monetary Theory (E62)

Forecasts of Budgets, Deficits, and Debt (H68)

Article corrections:

Publication languages:

English

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