The state audit of the government budget and expenditures is an essential control element in public finances and an important part of the concept of checks and balances. The central banks are independent state institutions, which possess a monopoly on managing and implementing a state's or federation's monetary policy. Besides monetary policy, some of them even perform the supervision of the financial intermediary system. In the case of a price stability function, the inflation rate, in the examined area, relatively quickly dropped to below 5% by 2000. In monetary policy the differences are based on the euro-zone: Estonia, Latvia, Lithuania, Slovakia, Slovenia use the common currency. The economies of this decade – similar to the previous one – show a moderate inflation. As a new phenomenon, a slight negative inflation (deflation) appeared in this decade in several countries (Croatia, Estonia, Hungary, Poland, Romania, Slovakia, and Slovenia), which demonstrates sensitivity regarding international developments. The majority of the constitutions determine the national currency, legal tender or monetary unit. The local currency exchange rate to the U.S. dollar shows that drastic interventions were not necessary. National wealth or assets are the property of the state or local governments and, as an exclusive property, the management and protection of them aim at serving the public interest.
The state audit of the government budget and expenditures is an essential control element in public finances and an important part of the concept of checks and balances. The central banks are independent state institutions, which possess a monopoly on managing and implementing a state's or federation's monetary policy. Besides monetary policy some of them even perform the supervision of the financial intermediary system. In the case of a price stability function, the inflation rate, in the examined area, relatively quickly dropped to below 5% by 2000. In monetary policy the differences are based on the euro-zone: Estonia, Latvia, Lithuania, Slovakia, Slovenia use the common currency. The economies of this decade – similar to the previous one – show a moderate inflation. As a new phenomenon, a slight negative inflation (deflation) appeared in this decade in several countries (Croatia, Estonia, Hungary, Poland, Romania, Slovakia and Slovenia), which demonstrates sensitivity regarding international developments. The majority of the constitutions determine the national currency, legal tender or monetary unit. The local currency exchange rate to the U.S. dollar shows that drastic interventions were not necessary. National wealth or assets are the property of the state or local governments and, as an exclusive property, the management and protection of them aim at serving the public interest.