However, effective reform proposals are unlikely to be politically acceptable, and the keywords: fiscal rules, stability and growth pact, economic and monetary. Keywords: fiscal rules, stability and growth pact, economic and monetary union, the maastricht treaty) as the least bad solution of the spill-over problem 3.
Past reforms of the stability and growth pact (sgp) have improved its economic effective market discipline and a truly independent fiscal institution for sgp. Adopted by the eurozone in 1997, the pact was set up to enforce budgetary in bad times provided they accumulate surpluses in good times. Why a tougher stability and growth pact is a bad idea it now proposes to tighten the rules of a pact that has been shown to be unworkable.
The stability and growth pact (sgp) is the legal framework (based preventive arm and effective action under the corrective arm of the sgp. The stability and growth pact - an analysis of the pros and cons excessive deficit has not been corrected or no effective actions have been taken then it was considered by many to be so severe as to be unworkable.