Answer to Question #199651 in Macroeconomics for Joseph

Question #199651

What is the “excessive deficit procedure”? When can it be triggered?

Expert's answer

If a member state's budget deficit exceeds 3% of GDP, this procedure is activated. The European Commission (DG Eurostat) is in charge of providing the EDP with data.

Learn more about our help with Assignments: Macroeconomics

Comments

No comments. Be the first!

Leave a comment

Related Questions

1. Why do EU rules limit admissible government deficits and debt levels?
2. What is the subsidiarity principle? Is it relevant for all EU legislation?
3. “Exit of the United Kingdom from the EU is not that bad after all, because it will draweconomic ac
4. Why is it important that the rulings of the European Court cannot be repealed by EUmember states?
5. “Liberalisation of cross-border capital flows makes it easier to stabilise nominalexchange rates.�
6. Suppose the € nominally depreciates against the $. How do the terms of trade evolve?What are the i
7. Why does the European Central bank need to assess likely future economicdevelopments?