1. Econ 102 Fall 2015

2. Fiscal Policy 1.Discretionary fiscal policy- 2. Automatic stabilizers

3. Government Budget Maintaining a healthy and sustainable government budget Primary Budget Consolidated Budget Gov’t Budget= Taxes- Gov’t Expenditure- Transfer Payments Gov’t Budget= Taxes- Gov’t Expenditure- Transfer Payments – interest Payments

7. Government Budget

8. Budget deficit financed by borrowing Government issues bonds to finance its deficit.

10. Public debt, (domestic, foreign and total) (billion TL)

11. Government Debt to GDP

12. Country Risk Premium

13. Country Risk Premium_2015