Oditor, No. 12/2015

THE ROLE OF ECONOMIC POLICY IN ECONOMIC CRISIS
PhD Slavko Vukša[55], PhD Dragan Anđelić[56], Ilija Kolarski M.A.[57]

UDK: 338.124.4; 336.1/.5

Abstract

Economic trends indicate an imbalance and unevenness in the performance of the main economic process, ie the fact that capitalism is marked by boom and bust, recessions and expansions that are repeated. Beginning in 1825 and the first economic crisis, there are ups and downs in the performance of the world economy. In a highly developed market economy, a country may in a given period achieved economic expansion and prosperity, accompanied by the rapid growth of the gross domestic product, real-income, investment, employment. This trend is accompanied by certain measures of fiscal policy and meonetarne, whose errors in often require that the welfare states of Western Europe is entering into a crisis characterized by a rise in unemployment, the decline in gross domestic product, a drop in profits and others. The negative balance in most macroeconomic indicators after a period reaches the bottom, and then begins recovery of the economy, which may be shorter or longer time.

Key words: economic policy, the economic crisis, recession, neoliberalism.

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[55]Slavko Vukša Ph.D., Full professor, University of Business Studies, Jovana Dučića no. 23a, Banja Luka, Bosnia and Herzegovina.
[56]Dragan Anđelić Ph.D., Full professor, University of Business Studies, Jovana Dučića no. 23a, Banja Luka, Bosnia and Herzegovina.
[57]Ilija Kolarski M.A., Accounting centre of Ministry of Defense, Gardijska 7, Belgrade, Serbia.