Ways of government intervention in “manipulating” the perception on public debt

The increased level of public debt along with debt crisis happening in many countries worldwide has attracted the attention of several researchers, not only in terms of fiscal policies sustainability analysis, but mainly in terms of the role of different political government decisions contributing in the enlarge levels of public debt. Keeping in mind that fiscal policies are nothing else than a pure reflection of government programs, even the capacity of a country to borrow should be perceived as a message of the latter to undertake rights or obligations at any time. Some countries can afford higher levels of debt comparing to their current level of indebtedness which is a result mainly because their government clearly express their readiness to use debt as a way of financing only in specific situations. In this context thearticle objective is to provide an overview of how government affects the size of public debt in the economy not only through its program, but also by using other means such as economic concepts of fiscal illusion or hidden debt without denying their good intentions and initiatives undertaken to limit public fund abuse which is expressed in their willingness to establish fiscal rules, followed by an overall analysis of Albanian debt situation stressing outall the contributing political attitudes.