This article has improved the approach for assessing the level of effectiveness of state regulation in the process of economic restructuring, considering its environmental factor. The proposed approach is based on the adaptation of the Kubin and Stern models by constructing a nonlinear econometric model of the dependence of expenditures logarithm on the implementation of reforms (considering the environmental factor) from the integral indicators: Dynamic shifts, Inclusiveness, Sustainable Development, Adjustment and Worldwide Governance Indicator (WGI). The WGI Kaufman and Krau Index is calculated on the basis of the application of the UCM approach as a general characteristic of the following components: publicity and accountability; political stability and lack of pressure, the effectiveness of the government; quality of regulation, the rule of law, control over corruption.
This article has improved the approach for assessing the level of effectiveness of state regulation in the process of economic restructuring, considering its environmental factor. The proposed approach is based on the adaptation of the Kubin and Stern models by constructing a nonlinear econometric model of the dependence of expenditures logarithm on the implementation of reforms (considering the environmental factor) from the integral indicators: Dynamic shifts, Inclusiveness, Sustainable Development, Adjustment and Worldwide Governance Indicator (WGI). The WGI Kaufman and Krau Index is calculated on the basis of the application of the UCM approach as a general characteristic of the following components: publicity and accountability; political stability and lack of pressure, the effectiveness of the government; quality of regulation, the rule of law, control over corruption.
This article has improved the approach for assessing the level of effectiveness of state regulation in the process of economic restructuring, considering its environmental factor. The proposed approach is based on the adaptation of the Kubin and Stern models by constructing a nonlinear econometric model of the dependence of expenditures logarithm on the implementation of reforms (considering the environmental factor) from the integral indicators: Dynamic shifts, Inclusiveness, Sustainable Development, Adjustment and Worldwide Governance Indicator (WGI). The WGI Kaufman and Krau Index is calculated on the basis of the application of the UCM approach as a general characteristic of the following components: publicity and accountability; political stability and lack of pressure, the effectiveness of the government; quality of regulation, the rule of law, control over corruption.
This article has improved the approach for assessing the level of effectiveness of state regulation in the process of economic restructuring, considering its environmental factor. The proposed approach is based on the adaptation of the Kubin and Stern models by constructing a nonlinear econometric model of the dependence of expenditures logarithm on the implementation of reforms (considering the environmental factor) from the integral indicators: Dynamic shifts, Inclusiveness, Sustainable Development, Adjustment and Worldwide Governance Indicator (WGI). The WGI Kaufman and Krau Index is calculated on the basis of the application of the UCM approach as a general characteristic of the following components: publicity and accountability; political stability and lack of pressure, the effectiveness of the government; quality of regulation, the rule of law, control over corruption.
The Treaty on the Functioning of the European Union provides that all Member States of the European Union shall harmonize their economic and exchange rate policies, conduct an appropriate fiscal policy, and join the euro area once they fulfill the conditions for the adoption of the single currency set out in the Treaty. The European Union institutions assess the economic convergence with the euro area of a country which is preparing to adopt the euro and it's eligibility for the changeover to the single currency of the European Union. In the 1st of May, 2004, when Lithuania became an official member of the European Union, automatically goal was set to abandon the national currency and become a full member of the euro zone, when Lithuania meet the convergence criteria. The first attempt to join the euro zone has been since 1st of January, 2007, but Lithuania met only three if the four convergence criteria. When inflation exceeded the convergence criteria by 0.1 percent, the European Commission's report on Lithuania's accession to the euro zone was negative. Unsuccessful attempts to join the euro zone shows that Lithuania's integration into the European Monetary Union is not properly analyzed topic in Lithuania, therefore for achieving the final success of the integration into European Monetary Union since 1st of January, 2015 the identification and assessment of integration problems and prospects extremely important. So the basic aim of the article is to assess the costs of Lithuania fully integrate into the European Monetary Union since 1st of January, 2015 by simulating the most favorable economic environment adoption of the euro. The object is the costs of Lithuania's integration into the European Monetary Union. And the tasks are to analyze the positive and negative aspects in order to join into the European Monetary Union and to assess the costs of Lithuania's integration into the European Monetary Union. DOI: https://doi.org/10.15544/ssaf.2014.09
Global financial crisis and its evolution on current world, as each state seeks to manage the global economy in order to protect its citizens from major financial setbacks in the future, become more and more popular issue. The global financial crisis destroys the real estate and financial markets, causes different countries coming into recession, which later has to be overcome not at individual but at larger effort. Most of the time of recession governments must borrow from international institutions, in order to save the country and the commercial banks not letting them to go bankrupt. In the term of financial crisis many people lose their money that has been invested not only in securities but also in the real estate and the unemployment rate begins to grow in leaps. The financial crisis is not just a phenomenon of the last decade. 81 till the Second World War and 182 after the Second World War financial crises, of which ten in one way or another affected the whole world, promote analysis of the attributes between these crises, in order to avoid massive losses across the global economy in the future. The article analyzes the key global financial crises in the last three centuries. The same causes of these crises, the effects and the assumptions enable discussion that the crisis is repeated cyclically. Therefore, one of the stages of the economic business cycle is the crisis. Each country business cycles are manifested in different ways, but during to the impact of globalization after the boom period in the markets, the financial asset price bubbles always burst, letting the crisis affect all the states and therefore causing an occurrence of global financial crisis, classified as a large-scale financial crisis type. Although the biggest global financial crisis happened in different centuries and in different economic conditions, respectively, in 1929 and 2008, there could be seen multiple interfaces between these crises. The central bank is responsible for a stable financial system in the country and in order to effectively manage it, central bank can apply different means of financial stability maintenance, including preventive, administrative and systematic liquidation assistance. DOI: https://doi.org/10.15544/ssaf.2012.27
Unsuccessful attempts to join the euro zone enables the authors to state that Lithuania's integration into the European Monetary Union is an insufficiently researched topic. Identification of the problems and prospects of Lithuania's integration into the European Monetary Union is especially important, because only when the problems are rectified, will it be possible to join the European Monetary Union successfully. It will also be possible to assess the potential risks and benefits of changing the national currency to the euro. Therefore, Lithuanian macroeconomic indicators are analyzed and compared with the convergence criteria. In addition, Estonia's and Slovenia's experience is investigated, because these countries have joined the euro area despite having a difficult macro-economic environment. It should be noted that the establishment of a single currency completed the integration of European countries and preconditioned the belief that joining the European Monetary Union will maintain price stability and a sustainable economic growth. Performed analysis of macro-economic indicators allows the authors to state that the major risk factor for Lithuania's integration process into the European Monetary Union has been and remains a too high rate of inflation. The main factors influencing the high inflation are a large amount of money in circulation, low inflation control, budget imbalances and a lack of execution about strict fiscal policy. In 2013, it is predicted that Lithuania will have a 2.5 percent inflation rate and the convergence criteria is expected to be equal to 2.6 percent, so the risk that inflation may be uncontrolled remains. In order to finally integrate into the monetary union, the Lithuanian government should pursue strict fiscal policy as well as structural reforms to ensure stability for prices and finance in the government sector. Establishment of the euro would promote foreign investment in the country, [.]
The Treaty on the Functioning of the European Union provides that all Member States of the European Union shall harmonize their economic and exchange rate policies, conduct an appropriate fiscal policy, and join the euro area once they fulfill the conditions for the adoption of the single currency set out in the Treaty. The European Union institutions assess the economic convergence with the euro area of a country which is preparing to adopt the euro and it's eligibility for the changeover to the single currency of the European Union. In the 1st of May, 2004, when Lithuania became an official member of the European Union, automatically goal was set to abandon the national currency and become a full member of the euro zone, when Lithuania meet the convergence criteria. The first attempt to join the euro zone has been since 1st of January, 2007, but Lithuania met only three if the four convergence criteria. When inflation exceeded the convergence criteria by 0.1 percent, the European Commissions report on Lithuanias accession to the euro zone was negative. Unsuccessful attempts to join the euro zone shows that Lithuania‗s integration into the European Monetary Union is not properly analyzed topic in Lithuania, therefore for achieving the final success of the integration into European Monetary Union since 1st of January, 2015 the identification and assessment of integration problems and prospects extremely important. So the basic aim of the article is to assess the costs of Lithuania fully integrate into the European Monetary Union since 1st of January, 2015 by simulating the most favorable economic environment adoption of the euro. The object is the costs of Lithuania's integration into the European Monetary Union. And the tasks are to analyze the positive and negative aspects in order to join into the European Monetary Union and to assess the costs of Lithuania's integration into the European Monetary Union.
The Treaty on the Functioning of the European Union provides that all Member States of the European Union shall harmonize their economic and exchange rate policies, conduct an appropriate fiscal policy, and join the euro area once they fulfill the conditions for the adoption of the single currency set out in the Treaty. The European Union institutions assess the economic convergence with the euro area of a country which is preparing to adopt the euro and it's eligibility for the changeover to the single currency of the European Union. In the 1st of May, 2004, when Lithuania became an official member of the European Union, automatically goal was set to abandon the national currency and become a full member of the euro zone, when Lithuania meet the convergence criteria. The first attempt to join the euro zone has been since 1st of January, 2007, but Lithuania met only three if the four convergence criteria. When inflation exceeded the convergence criteria by 0.1 percent, the European Commissions report on Lithuanias accession to the euro zone was negative. Unsuccessful attempts to join the euro zone shows that Lithuania‗s integration into the European Monetary Union is not properly analyzed topic in Lithuania, therefore for achieving the final success of the integration into European Monetary Union since 1st of January, 2015 the identification and assessment of integration problems and prospects extremely important. So the basic aim of the article is to assess the costs of Lithuania fully integrate into the European Monetary Union since 1st of January, 2015 by simulating the most favorable economic environment adoption of the euro. The object is the costs of Lithuania's integration into the European Monetary Union. And the tasks are to analyze the positive and negative aspects in order to join into the European Monetary Union and to assess the costs of Lithuania's integration into the European Monetary Union.
The Treaty on the Functioning of the European Union provides that all Member States of the European Union shall harmonize their economic and exchange rate policies, conduct an appropriate fiscal policy, and join the euro area once they fulfill the conditions for the adoption of the single currency set out in the Treaty. The European Union institutions assess the economic convergence with the euro area of a country which is preparing to adopt the euro and it's eligibility for the changeover to the single currency of the European Union. In the 1st of May, 2004, when Lithuania became an official member of the European Union, automatically goal was set to abandon the national currency and become a full member of the euro zone, when Lithuania meet the convergence criteria. The first attempt to join the euro zone has been since 1st of January, 2007, but Lithuania met only three if the four convergence criteria. When inflation exceeded the convergence criteria by 0.1 percent, the European Commissions report on Lithuanias accession to the euro zone was negative. Unsuccessful attempts to join the euro zone shows that Lithuania‗s integration into the European Monetary Union is not properly analyzed topic in Lithuania, therefore for achieving the final success of the integration into European Monetary Union since 1st of January, 2015 the identification and assessment of integration problems and prospects extremely important. So the basic aim of the article is to assess the costs of Lithuania fully integrate into the European Monetary Union since 1st of January, 2015 by simulating the most favorable economic environment adoption of the euro. The object is the costs of Lithuania's integration into the European Monetary Union. And the tasks are to analyze the positive and negative aspects in order to join into the European Monetary Union and to assess the costs of Lithuania's integration into the European Monetary Union.
Unsuccessful attempts to join the euro zone enables the authors to state that Lithuania's integration into the European Monetary Union is an insufficiently researched topic. Identification of the problems and prospects of Lithuania's integration into the European Monetary Union is especially important, because only when the problems are rectified, will it be possible to join the European Monetary Union successfully. It will also be possible to assess the potential risks and benefits of changing the national currency to the euro. Therefore, Lithuanian macroeconomic indicators are analyzed and compared with the convergence criteria. In addition, Estonia's and Slovenia's experience is investigated, because these countries have joined the euro area despite having a difficult macro-economic environment. It should be noted that the establishment of a single currency completed the integration of European countries and preconditioned the belief that joining the European Monetary Union will maintain price stability and a sustainable economic growth. Performed analysis of macro-economic indicators allows the authors to state that the major risk factor for Lithuania's integration process into the European Monetary Union has been and remains a too high rate of inflation. The main factors influencing the high inflation are a large amount of money in circulation, low inflation control, budget imbalances and a lack of execution about strict fiscal policy. In 2013, it is predicted that Lithuania will have a 2.5 percent inflation rate and the convergence criteria is expected to be equal to 2.6 percent, so the risk that inflation may be uncontrolled remains. In order to finally integrate into the monetary union, the Lithuanian government should pursue strict fiscal policy as well as structural reforms to ensure stability for prices and finance in the government sector. Establishment of the euro would promote foreign investment in the country, [.]
The Treaty on the Functioning of the European Union provides that all Member States of the European Union shall harmonize their economic and exchange rate policies, conduct an appropriate fiscal policy, and join the euro area once they fulfill the conditions for the adoption of the single currency set out in the Treaty. The European Union institutions assess the economic convergence with the euro area of a country which is preparing to adopt the euro and it's eligibility for the changeover to the single currency of the European Union. In the 1st of May, 2004, when Lithuania became an official member of the European Union, automatically goal was set to abandon the national currency and become a full member of the euro zone, when Lithuania meet the convergence criteria. The first attempt to join the euro zone has been since 1st of January, 2007, but Lithuania met only three if the four convergence criteria. When inflation exceeded the convergence criteria by 0.1 percent, the European Commissions report on Lithuanias accession to the euro zone was negative. Unsuccessful attempts to join the euro zone shows that Lithuania‗s integration into the European Monetary Union is not properly analyzed topic in Lithuania, therefore for achieving the final success of the integration into European Monetary Union since 1st of January, 2015 the identification and assessment of integration problems and prospects extremely important. So the basic aim of the article is to assess the costs of Lithuania fully integrate into the European Monetary Union since 1st of January, 2015 by simulating the most favorable economic environment adoption of the euro. The object is the costs of Lithuania's integration into the European Monetary Union. And the tasks are to analyze the positive and negative aspects in order to join into the European Monetary Union and to assess the costs of Lithuania's integration into the European Monetary Union.
The presidency of the European Union is poorly studied topic in Lithuania, therefore the identification of the presidency of the European Union value is very important. Evaluation is extremely important in order to achieve effective Lithuanian presidency of the European Union and quality of the presidency country of the European Council's agenda-setting. [.]
The presidency of the European Union is poorly studied topic in Lithuania, therefore the identification of the presidency of the European Union value is very important. Evaluation is extremely important in order to achieve effective Lithuanian presidency of the European Union and quality of the presidency country of the European Council's agenda-setting. [.]
The presidency of the European Union is poorly studied topic in Lithuania, therefore the identification of the presidency of the European Union value is very important. Evaluation is extremely important in order to achieve effective Lithuanian presidency of the European Union and quality of the presidency country of the European Council's agenda-setting. [.]
