Budgetary scope for policymaking 2003-2006
This study analyses the budgetary scope for policymaking during the coming cabinet period (2003- 2006), assuming no new policy measures and a constant general government financial balance (EMU-definition; 1.1% of GDP). The calculation is based on a prudent trend scenario for GDPgrowth of 2¼% per year (see CPB Document no. 1). The extrapolation produces a figure of 3¼ billion euro (7 billion guilders; 0.6 % of GDP), which can be used to cut taxes, increase public outlays or increase the EMU surplus.