1. The Stability and Growth pPact
... to 2005), and also that the assessment of completion of the adjustment should take into account the business cycle and therefore the cyclically- adjusted (or structural) budgetary position. As is well known, despite the five convergence criteria included in the Maastricht criteria, the main emphasis for EMU membership was placed on the budget deficit criteriona of 3 percent of GDP, partly because of the softening of the debt criteriona of 60 percent of GDP by the addition of a supplemental clause in Maastricht ... other words, if a member state is to have a recession it is better to hav...
- Word Count: 1678
- Approx Pages: 7
- Grade Level: Graduate