The role and influence of the political factor in establishing the financial and budgetary balance and on national stability

• Main Author: Tiberiu Valentin MAVRODIN
• Format: Article
• Language: English
• Published: General Association of Economists from Romania 2015-09-01
• Series: Theoretical and Applied Economics
• Subjects: State budget; Government public debt; efficiency; financial and budgetary policies; political instability
• Online Access: http://store.ectap.ro/articole/1122.pdf

Financial-budgetary balance and political stability are two concepts strongly interconnected and interdependent. While political instability can lead to serious violations of financial and budgetary balance, financial and budgetary imbalances can lead to changes of government and, especially, to serious political unrest. No matter the type of imbalances and how they manifest, their effects are quantified into frustration and discontent and they cause the accumulation of real social tensions and threats against national stability. For these reasons, political action must observe a moral or ethical framework, supported by institutions whose role is to define a general direction.