Over Fiscal Policy and Global Economic Growth: A Historical and Empirical Analysis

Abstract

This study aims to analyze the relationship between fiscal policy and economic growth in a global context over the past five years. Using a historical and descriptive approach based on academic literature, this study examines how public spending, taxation, budget deficits, and fiscal reforms affect economic growth dynamics across countries. This study integrates empirical findings from various studies in Asia, Europe, and Africa to gain a comprehensive understanding of the effectiveness of fiscal instruments on macroeconomic stability. The results of the analysis show that fiscal policy plays an important role in accelerating post-pandemic recovery, encouraging productive investment, strengthening fiscal resilience, and maintaining long-term economic sustainability. Its effectiveness is highly dependent on governance, budget transparency, and the ability to adapt to global changes. In addition, the implementation of green fiscal policy and fiscal system digitalization has been proven to increase efficiency, expand the tax base, and strengthen fiscal stability. This study provides theoretical and practical contributions to understanding the role of fiscal policy as a strategic instrument for achieving inclusive, resilient, and sustainable economic growth.