The Honorary President of the Institute for Public Policies and Good Governance, Prof. Dr. Arben Malaj, has expressed for “Monitor Magazine” about the expansionist fiscal policies facing potential risks. This debate over the effect of fiscal policies and expansionary fiscal policies is one of the main academic and policy-making debates.
Based on an article by Edmund Phepls, the Nobel winner in Economics, Prof. Dr. Malaj has expressed that large deficits do not reach the targets in the medium term. Furthermore, in the long run it can produce negative effects. Regarding to public investment, he said that the problem of the country is that the population is being reduced to a considerable extent, while public investments on roads are being considered a priority.
Prof. Dr. Malaj suggests that investing in the knowledge economy, restructuring the economy towards more productive sectors is the best investment for the country’s future in a global and European economic environment with much insecurity and clarity.
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