The Fiscal Federalism Approach in the Eurozone Related to Structural Budgetary Development, and Its Contribution for the Last Period

Ahmet Niyazi ÖZKER


In this study, we aim to bring up making meaningful the financial budgetary development which assert the financial alterations of budgets in EU express a powerful important to ensure the balance of countries that are in Euro Area. Therefore, as aimed at our research the general location of government budget positions related to the fiscal federalism that are formed via “interest expenditures”, “gross debt” and “deferred liabilities” from last year’s take important place to analyses and put forth budgetary developments in the scope of Euro Zone. In the other hand, how the budgets of EU member countries effect on the Eurozone is important matter due to the financial alterations related to these countries’ budget because this structural fact constitutes the affect levels that maniple on the Euro Area. Even more, the structural importance of the fiscal federalism is that come from the concept related to the effected general economic growth levels such as connected with each country government expenditures and revenues contributes in EU. Certainly, this concept determines its structural contribution levels to ensure and maintain Eurozone harmonization, and the assumption and no-assumption financial alterations or the concerned aims are shaped by these the denominators impact that reflect also computed in terms of potential GDP. Especially to the EU's future, it appears that the whole financial budgetary positive alteration access in the fiscal federalism process can set to important role to reduce the weight of financial total national tax burden.

Keywords: Government Budget; Euro Zone; Financial Alterations; Economic Expansion, Gross Domestic Product (GDP).

JEL Codes: H11; H60; H68; H71.

DOI: 10.7176/JESD/10-4-04

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