Druckschrift 
Improving social protection in Romania
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FRIEDRICH-EBERT-STIFTUNG IMPROVING SOCIAL PROTECTION IN ROMANIA Of course, we have to take into account the fact that the main function of social transfers is not to stimulate the economy and, along these lines, compared to the impact of other uses of budgetary resources, such as investment(which by definition involves a higher multiplier and thus a greater impact on the economy), is of limited relevance. The main take-away of the exercise presented in this section is that, given the consumption and taxation pattern of Romania, increasing ISR will have a positive impact on the economy, at a level comparable to the increase in social payments. 18