Instruments to Counteract Business Cyclicalty Under Conditions of Fiscal Policy.
The article analyses the possibilities of implementing anti-cyclical instruments when fiscal policy is being pursued by the government. The starting point is a review of theoretical thought on fiscal policy measures to stabilize the economy. The most frequently applied rules of fiscal policy: constraining budgetary deficits and the public debt, rules on expenditure growth and the cycle phase adjustments in the budgetary gap are discussed. The results obtained indicate that the optimum solution rests on the application of one of the two approaches: expenditure growth rule or the rule by which the deficit is adjusted by the business cycle phase. The selection of approach depends on the specificity of the economy that faces the problem.
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