Moesen standard

In using the Moesen standard, created by economist Wim Moesen (KU Leuven), the public expenditure is frozen for several years in order to restructure the public finances and stimulate the economy. You can, however, still allow certain partial budgets within that frozen overall budget to grow. This forces you to make choices: pruning here to encourage growth elsewhere. In the “actual Moesen standard”, public expenditure is allowed to grow by no more than Inflation The increase in the general price level. The original meaning (literally “to blow up”) is monetary inflation, which means that the amount of money increases. Today, inflation primarily refers to price inflation. This means an implicit monetary depreciation. This causes the purchasing power to drop. inflation . In the “nominal Moesen standard”, this expenditure is not increased in any way, not even to compensate for inflation.