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Journals / Sosyoekonomi / 2026 / Cilt: 34 Sayı: 67

The Impact of Fiscal Rules on Long-Term Borrowing Costs in EU Countries

AB Ülkelerinde Mali Kuralların Kamu Borçlanma Maliyeti Üzerindeki Etkileri

Ceren Baydak0009-0005-7327-3434
İrem Yendi Çetin(Hacettepe Üniversitesi)0000-0002-3717-7462
Pages
285–299
Publication Date
2026-01-31
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AI Summary & Key Takeaways

AI Insight
⚡ TL;DR(Too Long; Didn't Read)

The results of the analysis show that the adoption of fiscal rule practices will contribute to establishing fiscal credibility, which represents confidence in the government's fiscal policies and their ability to fulfil their financial obligations, and to enable countries to finance their deficits at a lower cost.

📌 3 Key Takeaways

🎯
Objective & Hypothesis:Fiscal credibility denotes the public’s trust in the government’s fiscal plans; it is defined as the government’s ability to meet its debt obligations and to comply with planned tax and expenditure policies.
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Key Findings & Data:The primary purpose of this study is to analyse the relationship between fiscal rule practices and long-term interest rates by examining the determinants of public borrowing costs.
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Conclusion & Impact:The results of the analysis show that the adoption of fiscal rule practices will contribute to establishing fiscal credibility, which represents confidence in the government's fiscal policies and their ability to fulfil their financial obligations, and to enable countries to finance their deficits at a lower cost.
🔬Design:Araştırma Makalesi
📍Scope:2001-2018 Verileri
⚙️Variables:Mali Kurallar · Devlet Borçlanma Maliyeti · Kamu Borçları

Abstract

Fiscal credibility denotes the public’s trust in the government’s fiscal plans; it is defined as the government’s ability to meet its debt obligations and to comply with planned tax and expenditure policies. The primary purpose of this study is to analyse the relationship between fiscal rule practices and long-term interest rates by examining the determinants of public borrowing costs. Empirical results from selected European Union (EU) countries for 2001-2018 show that improvements in the fiscal rule index are associated with lower long-term interest rates, and that the effect of public debt levels on borrowing costs is nonlinear. The results of the analysis show that the adoption of fiscal rule practices will contribute to establishing fiscal credibility, which represents confidence in the government's fiscal policies and their ability to fulfil their financial obligations, and to enable countries to finance their deficits at a lower cost.

Özet

Mali kredibilite, kamuoyunun hükümetin mali planlarına olan güvenini temsil eder; hükümetin borç yükümlülüklerini yerine getirebilme yeteneği ve planlanan vergi ve harcama politikalarına uyumu olarak tanımlanır. Bu çalışmanın temel amacı kamu borçlanma maliyetlerinin belirleyicilerini inceleyerek mali kural uygulamaları ile uzun vadeli faiz oranları arasındaki ilişkiyi analiz etmektir. 2001-2018 yılları arasında seçilmiş Avrupa Birliği (AB) ülkeleri verileri kullanılarak elde edilen ampirik sonuçlar, mali kural endeksindeki iyileşmenin uzun vadeli faiz oranlarının düşmesine yol açtığını ve kamu borç düzeylerinin borçlanma maliyetleri üzerindeki etkisinin doğrusal olmadığını göstermektedir. Analiz sonuçları, mali kural uygulamalarının benimsenmesinin, hükümetin mali politikalarına ve mali açıdan yükümlülüklerini yerine getirebileceklerine olan güveni temsil eden “mali kredibilite”nin tesis edilmesine ve ülkelerin açıkları finanse etmesini daha düşük maliyetle gerçekleştirilmesine katkı sağlayacağını göstermektedir.

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Cite This Article

Baydak, C., Çetin, İ. Y. (2026). The Impact of Fiscal Rules on Long-Term Borrowing Costs in EU Countries. Sosyoekonomi, Cilt: 34 Sayı: 67, 285–299. https://doi.org/10.17233/sosyoekonomi.2026.01.12

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