Abstract:

The paper analyzes the impact of economic growth on public debt in the Member States of the European Union, with an annual frequency, for the period 2005 - 2019. The aim is to capture the influence of public debt on economic growth, using Vector Autoregression Model.

The results of the study show a causal relationship between them, with an inertia in both the evolution of public debt and economic growth, reflected in an inversely proportional relationship.