Report
Euro area: Only small growth impulse from fiscal policy next year
EU governments submitted their d raft budgets to the European Commission this week . Although these numbers are still subject to potential revision s , the draft budgets suggest that fiscal policy will provide only a mild positive fiscal impulse at the euro area level next year . The aggregate figure, however, mask some interesting difference at the country level. German fiscal policy is likely to become expansionary next year , while fiscal policy in France will be contractionary under current plans.
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Dirk Schumacher
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