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Backwardness of Central and Eastern Europe as a heritage of the Soviet period
2020
Ancans, S., Latvia Univ. of Life Sciences and Technologies, Jelgava (Latvia). Faculty of Economics and Social Development
The economy of Latvia lags behind economically developed nations approximately fourfold in terms of labour productivity in the tradable sector, which is the key constituent of a modern economy, thereby affecting future sustainable development in the entire country, including the rural areas. The economic backwardness is characteristic of the entire Central and Eastern Europe. This is the heritage of a communist regime that lasted for about half a century and the economic system termed a (centrally) planned economy or a command economy. However, such a term for the communist-period economy is not correct, as it does not represent the purpose it was created for. Accordingly, the paper aims to assess the effect of the communism period on the economic backwardness of the Central and Eastern European region of the EU. A planned economy that existed in all communist countries, with the exception of Yugoslavia, was not introduced to contribute to prosperity. It was intended for confrontation or even warfare by the communist countries under the guidance of the USSR against other countries where no communism regime existed, mostly Western world nations with their market economies. For this reason, it is not correct to term it a (centrally) planned economy or a command economy; the right term is a mobilised (war) economy. An extrapolation of a geometric progression for GDP revealed that during the half a century, Latvia as part of the USSR was forced to spend on confrontation with the West not less than EUR 17 bln. (2011 prices) or approximately one gross domestic product of 2011. The research aim of the paper is to assess the effect of the communism period on the economic backwardness of the Central and Eastern European region of the EU.
اظهر المزيد [+] اقل [-]A different view on the country’s sustainable development indicators – Latvia’s example
2023
Trusina, Inese | Jermolajeva, Elita
The contemporary scientific and technical community claims that the new development paradigm will be based on the priority of the universal laws of nature, the principles of ecological economics and the widespread use of digital transformation. The analysis of the sustainable development strategy Latvia 2030 and the presented changes in the value of indicators showed that, it is quite difficult to put together a common unified picture of Latvia’s movement towards sustainable development. The main goal of the article is to present a new approach to the assessment of sustainable development and to monitoring system, using a system’s power changes analysis method. In the context of a Latvian sustainable development strategy, the authors presented the results of the formalisation of new approach to the sustainable development monitoring, using an invariant coordinate system in units of power (energy flow) in compare with calculated data in monetary terms. Calculations and the initial interpretation of the results of Latvia as well as of the five EU countries from the Baltic Sea region – Denmark, Sweden, Finland, Estonia and Lithuania – were carried out for the period 1990–2019. The presented indicators of sustainable development show that achieving the strategic goals of Latvia 2030 would be very difficult without any serious internal and external incentives. The results can provide a basis for creation of the development strategy both the country as a whole and each region separately.
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