We investigate the relationships between pollution and growth in eleven Central and Eastern European (CEE) countries. Aggregate results, robust to different estimators and control variables, reveal ...an increasing nonlinear link between GDP and CO2 for the group of CEE countries. However, at a disaggregated, country-level, the relationship between GDP and CO2 is characterized by much diversity among CEE countries, namely: N-shaped, inverted-N, U-shaped, inverted-U, monotonic, or no statistical link. Thus, despite an aggregated upward trend, some CEE countries managed to secure both higher GDP and lower CO2 emissions. From a policy perspective, EU policymakers could pay more attention to these countries, and amend the current unique environmental policy to account for country-heterogeneities in order to support economic growth without damaging the environment.
•We look at the link between pollution and growth in CEE countries.•Aggregate results reveal an increasing nonlinear link between GDP and CO2.•However, country-level results unveil much diversity in the relationship GDP-CO2.•Such country-heterogeneities should be accounted for by EU environmental policies.
After decades of impressive growth, the new member states of the European Union are once again in transition, but this time from imitation to innovation-driven competitiveness. This paper evaluates ...the relationship between both public funding and public procurement for innovation (PPI) and firm-level innovation output and outcome additionality, in eight Central and Eastern European countries. Matching estimates on a sample of 41,623 firms suggest that PPI has a large effect on innovation and output, and the highest additionality is sometimes achieved when firms receive both financial support and innovation-oriented public procurement. We argue that policy-makers aiming to strengthen indigenous innovation capabilities should place stronger emphasis on PPI.
Abstract This study aims to investigate the relationship between China's outward foreign direct investment (OFDI) in Central and Eastern European countries (CEECs) by assessing their impact on the ...economies of both the CEECs and China. By analyzing this connection, the paper seeks to gain insights into the economic dynamics and potential benefits derived from investment and trade activities between China and the countries in this region. The paper employs a regression model to examine the influence of foreign direct investment on trade with data from 2008 to 2022. The findings indicate that a one percentage point increase in China's OFDI corresponds to a 0.054 percent boost in bilateral trade between China and the 16 CEECs. In conclusion, the findings highlight a significant link between OFDI in CEECs and bilateral trade. OFDI opens up new trade opportunities and fosters economic growth in CEECs, thereby promoting the development of bilateral trade. Additionally, Chinese investment drives industrial upgrading and structural adjustments in CEECs, enhancing the competitiveness of bilateral trade.
Après une intégration à l’Union européenne en 2013, puis une adhésion au mécanisme de change européen (MCE) II en juillet 2022, la Croatie est devenue le 20ème État membre de la zone euro en janvier ...dernier. Cet article se propose, à partir du compte courant et du compte financier de ce pays, d’exposer comment ce dernier a réussi à rejoindre la zone euro. Nous présenterons, dans un premier temps, les conditions financières internationales de l’insertion de la Croatie, en analysant sa politique de taux de change et ses choix de spécialisation. Nous étudierons ensuite l’évolution de son niveau de vie et la soutenabilité des stratégies adoptées. Classification JEL : F14, F21, F32, F36, O11
This study aims to analyse the entrepreneurial intentions of students comparing Latvia and other Central and Eastern European countries. The investigation examines the impact of factors of micro and ...macro level as well as entrepreneurial education. The paper contains both qualitative and quantitative analysis including inferential and descriptive statistics to analyse the deviations inside the sample of 680 respondents from Latvia and other Eastern European countries. The results reveal several statistically significant differences between students from Latvia and other countries. Latvians emphasize seeking independence as a highly important motivational factor while valuing lower formal education, business training and business experience as the factors contributing to the success in entrepreneurship. Students from Latvia consider the regulatory framework for doing business to be a bigger obstacle to doing business than in other Central and Eastern European countries. This paper contributes to previous studies on entrepreneurial intentions in different geographical areas of Central and Eastern European countries where this type of research is lacking. Through identification of factors that impact entrepreneurial education, micro and macro factors influencing career decisions and intentions of young people it will be possible to improve systems of education and government policies to increase the efficiency of entrepreneurial education and to encourage entrepreneurship as a career choice.
The objective of this paper is to examine the value-added tax gap in relation to the quality of governance in selected Central and Eastern European countries. The tax gap is caused mainly by tax ...evasion and tax avoidance of the value-added tax (VAT) and is calculated as a share, in percent, of VAT total tax liability. The Worldwide Governance Indicators are used to represent quality of governance, and all six comprehensive dimensions of governance have been used: a) voice, accountability; b) political stability, absence of violence or terrorism; c) effectiveness of government; d) quality of regulation; e) the rule of law; and f) control of corruption. The results section shows the proven relationships between the VAT gap and the WGI indicators in the analyzed countries using statistical application methods (correlations) and data from 2000 to 2019. The most significant factor related to the VAT gap is the control of corruption, thus encouraging governments to enhance the anti-corruption measures.
The sustainable development concept is promoted as a theoretical frame suitable to face the challenges of the air transport market. The task is to focus on the solutions for current and future air ...transport strategies to provide movement of people and goods in a sustainable, equal, inclusive and efficient way. This research aims to recognise sustainable development challenges and refer to the situation of Central and Eastern European countries. The challenges to the sustainable development of air transport were grouped into environmental concerns, infrastructural and labour problems, technological change, digitalisation and changing passenger behaviour. Even though Central and Eastern European countries are lagging behind Western countries in terms of the number of passengers carried by air, they face the same challenges to the sustainable development of air transport markets. Air transport companies on their path to sustainable development should search for new, innovative solutions. There is a call for institutional changes to support sustainable initiatives.
Purpose. The purpose of the study is to analyse and systematise the smart priorities of the territories of Central and Eastern Europe with a focus on the sustainable development of the agricultural ...sector and to identify current trends in the innovative development of agriculture. Methodology / approach. The main research method is benchmarking which includes identification, comparative analysis, generalisation and application of best practices in various fields of activity. The authors’ methodology of regional benchmarking has been tried out in the work. The methodology provides implementation of a set of scientific and analytical measures at the following stages: (1) mapping and identification of smart priorities in focal economic activities; (2) analysis of regional priorities according to the European goals of smart specialisation policy including the structure of their selection; (3) studying the content and goals of the regional priorities establishing cross-sectoral links; (4) examination of the exploit of established and emerging clusters in the regional smart specialisation with identification of their localisation and selected priority areas; (5) analysis of interregional cooperation in smart specialisation domains; (6) processing and formalisation of the obtained research results. Results. We identified and analysed 44 priorities involving the agricultural sector, which belongs to 12 Central and Eastern European countries. The dominant policy objectives of smart specialisation of these territories are Sustainable Innovation, Public Health & Security and Key Enabling Technologies, which are mainly focused on achieving sustainable agriculture, establishing bioeconomy and providing food security & safety. These smart specialisation domains at the national and sub-national levels clearly contribute to the attainment of the Sustainable Development Goals. Priorities were grouped according to their internal goals and content, which allowed identifying key trends of innovative development of the territories with the involvement of the agricultural sector. It is concluded that the regions combine knowledge and assets through the intensification of cross-sectoral, interregional cooperation and the use of clusters. We determined that cross-sectoral links within smart priorities are mostly formed within existing value chains, but recently, new cross-sectoral and interregional partnerships emerge and actively develop. They are mainly focused on the diffusion of innovative bio- and digital technologies in agro-food systems. We highlighted the key issues that need to be addressed by regional working groups while selecting the smart priorities of the Ukraine’s regions. Originality / scientific novelty. This paper presents the results of the thematic research in a new understudied direction – Smart Specialisation Strategies for Sustainability. Based on the authors’ methodology of regional benchmarking, the smart priorities in the agricultural sector of Central and Eastern European countries have been analysed. Practical value / implications. The results of the study can be used by regional working groups of the Entrepreneurial discovery process to draw up possible ways of agricultural development. The obtained results may also be of interest to researchers from different countries involved in the implementation of smart specialisation approach and the improvement of its methodology.
The aim of the article is to examine the dynamics and the determinants of the geoeconomic strength of Russia in relation to Central and Eastern European countries (CEE-11) belonging to the European ...Union. The article confirms the research hypotheses that: (i) since 2014, the geoeconomic balance of power in Central and Eastern Europe began to change significantly in favor of the CEE-11 region, (ii) the economic sanctions imposed on Russia after 2014 negatively influenced its geoeconomic strength in relation to the CEE-11 region by reducing the export and import flows, as well as FDI net inflows in Russia compared to the CEE-11 countries. Panel regression analysis (ordinary least squares and fully modified ordinary least squares) was used to test the second hypothesis. All data used in the article comes from the World Bank database and covers the period from 2004 to 2020.
Objective: The purpose of the research is to analyze credits dynamics, provided by banking sectors in the CEE countries from the international financial crisis to present. Methodology: The study ...examines the data for domestic credits, provided by banks of the ten Central and Eastern European countries in particular Bulgaria, Romania, Poland, Hungary, Czech Republic, Estonia, Lithuania, Latvia, Slovenia, Slovak Republic. The used methods are descriptive analyses and synthesis. Results: It is found that the bank credits were negatively affected by the observed crises in the last twenties years: international financial crisis, European debt crisis and pandemic crisis. After the COVID-19 crisis the credit growth has started to recover, together with the economies. In 2021, all banking systems in CEE countries reported a recovery of their loan portfolios, recording positive growth rates. However, rising and accelerated inflation since mid-2021 and the subsequent reaction by central banks to curb it faces new challenges for banks and countries. Implication: The study’s results are important for policy makers, aiming to recover the economic development of countries, as well as to the bank managers, aiming to improve the activity of the managed banking institutions.
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