Consider the following statements : The Stability and Growth Pact of the European Union is a treaty that 1. limits the levels of the budgetary deficit of the countries of the European Union 2. makes the countries of the European Union to share their infra

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Q: 69 (IAS/2023)
Consider the following statements : The Stability and Growth Pact of the European Union is a treaty that
1. limits the levels of the budgetary deficit of the countries of the European Union
2. makes the countries of the European Union to share their infrastructure facilities
3. enables the countries of the European Union to share their technologies
How many of the above statements are correct?

question_subject: 

Economics

question_exam: 

IAS

stats: 

0,2,14,2,12,2,0

The Stability and Growth Pact (SGP) of the European Union is indeed a fiscal framework that imposes fiscal discipline among EU member states. Statement 1 is accurate because one of SGP’s main objectives is to limit the budgetary deficits of the EU countries to ensure the overall financial stability of the union.

However, the SGP does not require sharing of infrastructure facilities or technologies among member countries, which makes statements 2 and 3 incorrect. Therefore, it doesn`t provide for any direct sharing or joint initiatives of the sort.

Hence, only one statement, statement 1, accurately describes the Stability and Growth Pact of the European Union. This makes Option-1 "Only one" the correct answer.