The ability of public budgets (federal, state, local and parafisci) to service all liabilities over time. If there are doubts about this, economic agents will react by taking appropriate action – such as shorter maturities for loans, contracts to hedge the consequences of government default – which will be reflected in the financial markets in a variety of ways. – See aging, adjustment inflation, mandatory, expenditure ratio, European Monetary Fund, BudgetTricks, budget pre-reconciliation, European, sustainability, shadow government, debt ratio, Semester, European, government debt reduction, Stability and Growth Pact, fiscal framework, welfare state trap, constitutional article one Wagner’s Law. – Cf. ECB Monthly Bulletin of February 2007, pp. 65 ff. (sustainability within the EU), ECB Monthly Bulletin of December 2009, pp. 97 ff. (European Commission Sustainability Report 2009; overviews), ECB Monthly Bulletin of March 2010, pp. 96 ff. (forward guidance to 2028 in the euro area; overviews), ECB Monthly Bulletin of July 2011, pp. 31 ff. (forward guidance to 2020).
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University Professor Dr. Gerhard Merk, Dipl.rer.pol., Dipl.rer.oec.
Professor Dr. Eckehard Krah, Dipl.rer.pol.
E-mail address: info@ekrah.com
https://de.wikipedia.org/wiki/Gerhard_Ernst_Merk
https://www.jung-stilling-gesellschaft.de/merk/
https://www.gerhardmerk.de/