Economic analysis of public revenues and expenditures in the countries of the European Union

Abstract

Modern states are faced with significant budget deficits and public debts. The long-standing negative trend of these categories can create significant negative consequences. All countries strives to rationalize expenditures and increase revenues without distraction the functioning of the economy. The subject of this paper is to create models of forecasting public revenues and public expenditures based on the same in previous years. The analysis includes all EU Member States and the values of public revenues and expenditures over the past ten years. The SPSS software package was used for data analysis and the conclusions were drawn from the obtained results. The importance of the analysis is reflected in the practical foundation of the pre-set theoretical views, which will have their foundation also in the results of the analysis, which will be statistically significant. The resulting model does not have its limitation of application and can be applied to the Republic of Serbia.