Bohach, MarynaБогач, Марина ВіталіївнаPaientko, TetianaПаєнтко, Тетяна ВасилівнаПаентко, Татьяна Васильевна2022-11-102022-11-102021Bohach M. The Impact of Fiscal Deficit on Economic Growth:Evidence fromEurope [Electronic resource] / Maryna Bohach, Tetiana Paientko // International Journal of Applied Research in Management and Economics. – Electronic text data. – 2021. – Vol. 4, № 3. – P. 54–62. – Mode of access: https://www.dpublication.com/journal/IJARME/article/view/750/535. – Title from screen.2538-8053https://ir.kneu.edu.ua:443/handle/2010/38440The purpose of this paper is to determine the impact of fiscal deficit on economic growth to find out whether it is possible to promote economic growth through reduction of the gap between government revenue and expenditures. The sample for empirical analysis consists of thirty-seven European countries according to United Nations approach. We used panel regression to test stated hypothesis. The findings demonstrate that in the case of developed countries the fiscal deficit reduction could be one of the tools of accelerating economic growth. For developing countries, this method should not be used, as the deficit has no significant impact on GDP per capita.enFiscal deficitGDP per capitaGross capital formationNet exportIndex of economic freedomArticle