Fiscal policies and fiscal pressure in European Union and Romania

The purpose of this paper is to analyze the link between fiscal and tax burden, fiscal relationship between current policy, budgetary expenditure and revenue, the total direct tax revenues. In the first part of the paper I presented general concepts related to fiscal policy, the approach to fiscal policy from one country to another tax competition in the EU strategies and the impact of fiscal policy on the economy in general, the connection between taxation as income budgeting and spending. The second part highlights the link between fiscal policies and tax burden, theoretical aspects related to the tax affordability according to Laffer curve, were analyzed in comparison revenues and expenditures in EU and Romania, we analyzed the share of direct taxes in total revenues. We built an econometric model based on a simple linear regression, the fiscal pressure as dependent variable and independent variable as spending. In the last part, there are the conclusions for this work.