Article

 

The comparative evaluation of the SME support programs: The case of voucher system of counselling transferred from Slovenia to FYROM (p.11-31)

by

Jaka Vadnjal, GEA College of Entrepreneurship, Ljubljana, Slovenia

Ljubiša Nikolovski , Agency for Entrepreneurship Promotions, Skopje, FYROM

Keywords : SMEs support, transition economy, market failure, counselling, consultants, local enterprise centre, voucher system

JEL classification : L26, M13

Abstract

There is a common belief also supported by several pieces of research findings that SMEs need external business support, in particular during the early development stage. Government agencies have developed several initiatives and voucher system as one of them is aimed to provide counselling to SME. The program was designed and started in Slovenia in 2000. In 2006 the know-how for the system was transferred into Former Yugoslav Republic of Macedonia. This paper presents the fundamental concept of the voucher system and the rules for a comprehensive approach, discusses the organizational structure and functions of different stakeholders. Findings from the research done separately in two countries are analyzed in order to evaluate the effectiveness of the program and appropriateness for its transfer within countries. The potentials for further development of the system in FYROM on the basis of the know-how from Slovenia are assessed. An innovative outcome of the study is development of the framework for bench-marking based policy measure evaluation.

 

 

An overview of the options for efficient water allocation within an integrated Europe: The case of Nestos river (p.33-51)

by

Dimitrios A. Giannias, Hellenic Open University

Keywords : Water allocation, Efficient allocations, Nestos river

JEL classification : D04, D41, D61, D62

Abstract

A model is presented that incorporates both water quantity and quality aspects and a market based system is developed to characterize optimum water allocations between two regions or countries. A methodology is developed to compute the optimum tax or subsidy that could support an optimum water quantity and quality allocation in case that the relevant authorities agreed to impose in the marketplace.

 

 

Assessing economic growth and fiscal policy in Indonesia (p.53-71)

by

Rifki Ismal, University of Paramadina, Indonesia

Keywords : Wagner, Keynes, Fiscal

JEL classification : E12, E62

Abstract

This paper attempts to analyze the economic development and fiscal policy in Indonesia. Especially, it investigates whether Wagner and/or Keynes law(s) of economic development apply in the country and what variables determine the economic growth and fiscal policies. Technically, the paper uses econometric model called Autoregressive Distributed Lag model and Vector Auto Regression model to analyze both short and long run periods. The main finding is that both Wagner and Keynes law(s) occur in the Indonesian economy. Particularly, economic growth is influenced by government expenditures variables, namely employment expenditures, good expenditures and non tax income. Meanwhile, government expenditures are determined by exports of oil, imports and payment of debts. As such, the paper suggests that policy makers use employment expenditures as the fiscal policy variable while imports and exports of oil are the aggregate economy policy variables.

 

 

The monetary transmission mechanism in a small open economy: The case of Egypt (p.73-96)

by

Ibrahim L. Awad, Zagazig University, Egypt

Keywords : Monetary Policy in Egypt, VAR Model, Monetary Transmission Mechanism in Egypt

JEL classification : E40, E50, E52

Abstract

By treating the Egyptian economy as a small open economy, the current study attempts to fill a gap in studies about MTMs in the Egyptian economy. The results of the study are as follows: (i) The CBE is factually applying the sterilized intervention policy. (ii) The CBE does not apply an independent monetary policy. (iii) The federal funds rate and the FX rate, respectively, play the most important role among the foreign and domestic variables that influence the reaction of the CBE. (iv) Foreign economic shocks play a dominant role in explaining the behavior of real domestic growth, whereas domestic economic shocks play a dominant role in explaining the behavior of domestic inflation, especially in the short run. (iv) The interest rate channel explains the MTMs in the Egypt.

 

 

Tacit collusion in a labor-managed oligopoly market (p.97-107)

by

Kazuhiro Ohnishi, Osaka University & Institute for Basic Economic Science

Keywords : Donative most-favored-nation pricing, Labor-managed firm

JEL classification : C72, D21, L13

Abstract

This paper considers a two-stage price-setting oligopoly model with labor-managed income-per-worker-maximizing firms. In the first stage, each firm non-cooperatively decides whether to offer a donative most-favored-nation policy as a strategic instrument. In the second stage, each firm non-cooperatively chooses its actual price. At the end of the second stage, the market opens and each firm sells at its actual price. The paper shows the role of the donative most-favored-nation policy as a practice facilitating coordination in the labor-managed oligopoly model.

 

 

Privatisations in Algeria: An institutional economic analysis of the failed privatisation process  (p.109-135)

by

Lyazid Kichou, CRIISEA, University of Picardy

Keywords : Institutional economics, Privatization, Labor unions

JEL classification : D02, D72, D73, J53

Abstract

This article presents an institutional economic analysis that focuses on the reasons behind the inertia in the privatization process, which begun in Algeria in 1995. The analysis identifies the reasons for the failure of privatization, as well as behaviors arising from a long process by which formal and informal rules are crystallized (i.e. anchored in people’s mindset and habits) and publicized (i.e. made public and defended on a national level); in particular through the actions of Algeria’s single labor union, the UGTA.