0000000000449483
AUTHOR
Edgars Vitols
Fiscal policy as an instrument for reducing income inequality: case of Latvia
With the help of fiscal policy, government may influence both overall demand and the disposable income of the population, as well as solve social equality challenges in the society by allocating income among different groups of population. Income inequality in Latvia, which is expressed by the Gini index of disposable income, is the third highest in the European Union, so the question about the most effective instruments for reducing income inequality is pressing. Inequality results in reduced efficiency of social capital and economic distribution, worsening of population health indicators, rising social tension, increased crime and rising poverty, which can have a negative impact on long-t…
Public debt sustainability and the impact of the COVID-19 pandemic: the case of Latvia
The Covid-19 pandemic has had a significant impact on economic growth. Many countries are trying to stimulate their economies and help their citizens through fiscal policy, which have led to a significant increase in government debt. A significant increase in Latvia's general government debt is also being forecasted. Excessive debt threatens the sustainability of public finances and has a negative impact on the country's economic growth. The aim of this study is to assess the sustainability of general government debt in Latvia, taking into account the impact of the Covid-19 pandemic. The results of the study show that the increase in Latvia's general government debt as a result of the Covid…