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Public Expenditure in Poland: Major Trends, Challenges and Policy Concerns

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  • Ryszard Rapacki

Abstract

This article surveys the behaviour of public expenditure in Poland. The analysis is conducted against a theoretical background outlining the basic government functions and possible government failures in a market economy. The first part provides an overview of major trends in public expenditure during systemic transformation in Poland. It also highlights the reprioritisation of government objectives in channelling budgetary funds. The second part gives an account of the most salient consequences of the changing pattern of public expenditure and discusses the main policy concerns involved, pointing out the adverse macroeconomic effects of government failure to create or enhance positive externalities for business. The last part outlines the most significant future challenges, with special emphasis on the implications of the public finance crunch that emerged in mid-2001. It also argues that two 'external' factors, globalisation and the forthcoming EU accession, will gain importance in the future in shaping public expenditure in Poland.

Suggested Citation

  • Ryszard Rapacki, 2002. "Public Expenditure in Poland: Major Trends, Challenges and Policy Concerns," Post-Communist Economies, Taylor & Francis Journals, vol. 14(3), pages 341-357.
    • Handle: RePEc:taf:pocoec:v:14:y:2002:i:3:p:341-357
    DOI: 10.1080/1463137022000013412
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    References listed on IDEAS

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    1. World Bank, 2002. "Transition, The First Ten Years : Analysis and Lessons for Eastern Europe and the Former Soviet Union," World Bank Publications - Books, The World Bank Group, number 14042.
    2. George Blazyca & Ryszard Rapacki (ed.), 2001. "Poland into the New Millennium," Books, Edward Elgar Publishing, number 2356.
    3. Buchanan, James M, 1987. "Tax Reform as Political Choice," Journal of Economic Perspectives, American Economic Association, vol. 1(1), pages 29-35, Summer.
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    Cited by:

    1. Malgorzata Sulimierska, 2014. "Total factor productivity estimation for Polish manufacturing industry: A comparison of alternative methods," Working Paper Series 6714, Department of Economics, University of Sussex Business School.
    2. Radulescu Magdalena & Banica Logica, 2015. "Features Of The Public Spending By Function In Cee Countries - Trends And Shifts During The Crisis Period," Annals - Economy Series, Constantin Brancusi University, Faculty of Economics, vol. 5, pages 104-115, October.
    3. Rapacki, Ryszard, 2005. "Fiscal Performance and Fiscal Implications of the EU Accession in Poland," EconStor Conference Papers 130182, ZBW - Leibniz Information Centre for Economics.

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