Abstract
While the Central Government is responsible for the European Stability and Growth Pact, internal coordination among different layers of government is crucial to comply with the European obligation. In this paper the Italian Domestic Stability Pact (DSP) on local authorities is evaluated in terms of its effects on the public sector borrowing requirement from 1999 to 2005. A new data base is used to verify yearly and for each local authority the respect of the Italian DSP. More precisely, the fiscal rule is calculated on official budget data for the whole sample of local authorities tied. The results supply evidence for reconsidering the structure of the DSP in terms of binding fiscal rule, adjustment of structural local budget deficits and international compliance.
Sign-in/Register to access full text options 
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a callDisclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.
