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Fiscal Transfer and fiscal constraint watch

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    Doing revision, and im not sure if I understand them.

    Does monetary union and the S.G.P mean in a recession, there is a limit to the amount of borrowing a government can do to spend its way out of a recession ?

    If that is correct, does fiscal transfer (Using taxs from one country in anonther to create growth) counter act t hat ?
 
 
 
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Updated: April 5, 2013
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