FISCAL POLICY AND GROWTH: COMPERATIVE ANALYSIS OF RUSSIA AND THE OTHER POST SOVIET UNION COUNTRIES

Year 2016, Volume: 5 Issue: 1, 98 - 107, 30.03.2016

Eda Balikcioglu

https://doi.org/10.17261/Pressacademia.2016116557

Abstract

After the
seperation of the Soviet Union and  the
transformation of the economic systems from socialism to capitalism, public
policies of old Soviet Nations have also changed. Among these countries, Russia
has a special importance due to its economic and fiscal potential and in terms
of its inheritance of a strict centralist system.  On the other hand,  aftermath of the scatter of Soviet Union in
1991, Russia met two important economic crises. This study aims to investigate
Russian economic and fiscal performance in 1992-2014 after the disintegration
and also to compare Old Soviet Nations including 12 countries by using dynamic
panel data analysis with the variables of GDP growth, inflation, unemployment,
current account balance, public revenues, public expenditures, primary balance,
budget balance and public debt. Finally, the study examines the effect of
public policies during the transition period on economic growth. 

Keywords

Economic growth, fiscal policy, public expenditures, primary balance, budget balance, public debt

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