Abstract
This paper examines fiscal sustainability in Romania by combining the recent institutional context with a replicable annual regression based on public data. The descriptive section shows that Romania entered 2024-2025 with the widest budget deficit in the European Union and with a rapidly rising debt burden, while medium-term consolidation remains politically and economically demanding. The empirical section estimates a simple debt-dynamics equation for annual data, where the public debt ratio is explained by its own lag and by real GDP growth. Using annual observations for 1999-2022, the model indicates strong debt persistence and a statistically significant negative association between real growth and the debt ratio. The results are consistent with the recent literature on Romania, which argues that debt sustainability depends not only on current borrowing levels but also on growth resilience, fiscal credibility, and the implementation of multiannual correction plans. The article contributes a journal-style version of the case study by adding a real Excel-based dataset, a transparent regression output table, and a set of references that are verifiable and suitable for academic use.
Cuvinte cheie
fiscal sustainability
Romania
public debt
economic growth
regression analysis
budget deficit
Istoric articol
Publicat
31.08.2026
Informații autori
Citare recomandată
Mircea-Iosif Rus (2026). Fiscal Sustainability in Romania: Empirical Evidence from a Simple Debt Dynamics Model. Constantin Brâncuși University of Târgu Jiu Economics Series, 2(1), 165–169. https://doi.org/10.65631/jes.4.2026.15
Referințe bibliografice
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