Fiscal policies developed by the European Mediterranean countries to combat unemployment

Abstract

This project analyses the recent taxing reforms and policies carried out by the European Union countries, but specially the Mediterranean countries to combat unemployment as it has been very affected by the economic crisis of 2007. These countries are France, Greece, Italy, Portugal and Spain, and this work pays special attention to them as they have been severely in trouble after the crisis, and their reforms to improve their economies and decrease unemployment have followed a similar trend. For the better understanding of the analysis, the situation of the European Union before the crisis is described and to see if policies will actually help the economy, the relationship between taxes and economic growth is explained. The work finishes with an econometric analysis of Spain, as is the closest country, to see what impact taxes and economic growth have in unemployment.