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THE ROLE OF MACROECONOMIC PROGNOSES IN THE PLANNING OF THE STATE BUDGET

Ērika Žubule

Abstract


Topicality of the scientific research can be justified by the fact that the development of any country in economical and social sphere is influenced by the policy of the government. Its main component is a fiscal or budget policy, which includes both taxes and government expenses that are called state finance. An essential issue of state finances is the comprehension of procedures related to the budget formation as they determine the mechanism of formation and use of funds necessary for the government. An important stage in the budget process is a budget planning, when possible state income is predicted and financial resources necessary for carrying out government functions are allocated. In the article the author evaluates the role of macroeconomic prognoses in the planning of the state budget in Latvia and offers the possibilities of improvement in the economic and fiscal activities prediction.

Keywords


budget; budget planning; government activities; macroeconomic prognoses; fiscal policy; state finance

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References


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DOI: https://doi.org/10.17770/lner2010vol1.2.1800

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