DEVEPLOPMENT POLICIES Comparative Economic Development: Albania-Western Balkan (original) (raw)

Comparative Economic Development: Albania-Western Balkan

The purpose of this paper is to make an economic comparison, both theoretical and empirical, for different development aspects of Albania aside Western Balkan countries. The theoretical development of the subject gives an overview of recent macroeconomic and structural developments in the countries of the Western Balkan region by dissecting the various contributors of growth. Another important point, that is developed includes the trends of economic, political and institutional development of the Western Balkan countries with relation to two major factors shaping the region's context, the international economic and financial crisis and the process of European integration reflected in the fiscal and structural reforms undertaken in the respective countries. The descriptive statistics illustrates the relationship between economic growth and selected macroeconomic indicators by the explaining of the econometric model built and studied.

THE ECONOMY OF ALBANIA TODAY AND THEN: THE DRIVERS TO GROWTH

"Over the past two decades, Albania has faced many social and economic changes, since it changes it economic system from a centralized one to a democratic one in early 90s. During this transitory phase, Albania had faced difficult challenges such as of undertaking all the necessary reforms for the stabilization, liberalization, privatization and integration of its economy in the overall global and regional economic trends. The first aim of this paper is to study the Albania Economy in its democratic era. The second aim of this paper is the identification of the main drivers to economic growth in the Albanian case during past two decades and the challenges that it faces today. Furthermore, this paper deals with some of the challenges that Albanian economy faces today such as SMEs challenges that represent the 98% of the market, rail infrastructure, lack of entrepreneurship, low level of innovation spirit among the enterprises, lack of focus in R&D. This paper finds out that Albanian Economy has performed well but yet, there exists some critical challenges that should be face in order to achieve the desired level of economic development and competitiveness in global and regional market. "

Transition Analysis and the Economic Development of Albania During the Post-Transition Period

European Scientific Journal, ESJ, 2015

After more than twenty years of transition filled with promises, mistakes, failures, and dilemmas concerning the economic challenges lying ahead, Albania has made remarkable economic progress. Based on the level of debates held between economists either in Albania or abroad, and based on what different policy makers believe, we came to the conclusion that there is still a lot of economic challenges like: inadequate reforms and various obstacles that hinder the country's transition from communism to a developing country worthy of being a member of the EU. In this article, we will talk about the economic transition in Albania by reevaluating the models of economic development and economic thought of development in order to find a connection between theory and practice. We will also try to evaluate the model of economic development applied in Albania, taking into consideration the different problems, what went wrong, and what needs to be done in order to have a sustainable economic development, and to deal with the economic-financial crisis which has affected our country. The final goal of this article is the contextualization of economic reflection and the analysis of economic models. This takes into consideration the main factors of the economic development of a country and its development, bearing in mind the economic situation we live in.

The Effect of Economic Policies on Albanian GDP

Academic Journal of Interdisciplinary Studies, 2016

Policies applied nowadays are fiscal policy, monetary policy, income policy, and foreign relations policy, etc. This paper will analyze fiscal and monetary policy. How have those policies affected in the Albanian GDP in 2004-2015. The goal is to determine which of these policies is effective in economic growth and where we should aim in the future. Reached conclusion is simple, fiscal policies have limited impact on the growth of GDP. This is consistent with the theoretical model of a small open economy with a flexible exchange rate regime. Monetary policies have lower impacts on economic growth. This conclusion is contrary to theoretical impact on GDP. In the theoretical model, the monetary policies are fully effective in GDP growth, while fiscal policies have limited impact. This paper used the methods of analysis and synthesis, comparison of the description, are also used statistical methods.

A LONG-TERM ECONOMIC MODEL: CASE OF ALBANIA

European Scientific Journal, 2013

Purpose of the research is to give an economic model for Albania based on its human and natural resources, a model which guarantees economic growth, sustainable development and a path towards integration of the country in the Balkan region and beyond.

Evaluation of the Main Macroeconomic Indicators and Their Role in the Economic Growth of Albania

Academic Journal of Interdisciplinary Studies

This project it is focused in the link between some macroeconomic indicators as an important factor of sustainable growth and the development economy. Specifically in this study is given a presentation of inflation on years in our country, giving the factors that have influenced in it. Also we have received some data from government statistics: Dependence of the nominal stated interest rate on loans from , which used to measurement of (GDP) Gross Domestic Product. Potential product measured using the linear regression method. The results of the methods were compared using time series analysis, for measurement of economy cycles and their intensity. Economic stability is a necessary condition for sustained economic growth of a country and for improving its welfare in the long term. It is also evidenced by the experience of different countries. As the experience as well as theory have shown that the establishment and maintenance of equilibrium within and between sectors of the economy is a necessary condition of economic growth.

Albania: Economic Prospects of European Union Membership

vps.ns.ac.rs

In this article a study is reported on the effects of a possible European Union membership on Albanian economy. One result of this study was that there indeed exists a measurable positive "EU-effect" on the national economy of the joining country. Comparing pre and post EU membership growth numbers of various Eastern European countries which joined the EU in 2004, a conclusion can be drawn that this membership yielded a clearly observable increase in national economic growth after these countries accessed the EU. Based on different calculations, four scenarios for Albanian future economic development in the case of becoming an EU member state were composed: two pessimistic and two optimistic scenarios. While the pessimistic scenarios still assume a generous 5% annual growth of the economy, in the optimistic scenario this could be a rough 1.5 % higher.

European Union Integration: The Impact in Albanian Economy and Life

Most of the countries in South Eastern Europe has the European Union Integration as a political, economic and social goal. The focus of this paper is the Albanian integration in EU and its impacts in Albanian economy and life. To analyze these impacts is conducted a theoretical review and an empirical analysis. The theoretical review tries to theoretically predict the impact that integration will have in economy, policy and social life in Albania. The theoretical review is focuses more in the economic impacts and in advantages and disadvantages of the increase in foreign direct investment which will be a result of the integration into EU. Moreover, the theoretical approach analyses also the political and social impacts. Empirical analysis aim is to forecast the trends of Gross Domestic Product and Foreign Direct Investment in Albania by using time series forecasting methods according to two different scenarios (Slovenian or Good Scenario and Bulgarian and Bad Scenario). It predicts that GDP will increase by 16.60-23.92% and FDI level in Albania will increase by 29.22-32.12%. Moreover, in the empirical analysis a time series regression method is used to investigate the impact that an increase in FDI and integration into EU will have on the Albanian GDP. The results indicate that only FDI has a significant impact in GDP and its impact is positive.

Albania: A Small Economy with A Great Hope

2012

In this paper we explore the necessary proposals needed to implement aiming the revitalization of the Albanian economy under a multidisciplinary context by simultaneously ensuring the banking system prosperity and the continuity of this symbiosis in favorable conditions for the parties of interest which can really boost the above mentioned economy. Definitely under globalization perspective the consequences of the global financial crisis appeared in the albanian emerging economy also albeit they weren’t devastating even though the country was willing to pay the price in reward of the European membership. The external shocks slowly transmitted to the Albanian economy a rapid fall of the remittances from the migrant workers, a jump of fiscal deficit, the increase of public debt, a sudden lending decline, an immediate fall of the foreign direct investments, an abducted increase of the inflation rate pursued from a partial trade collapse especially from euro zone, etc.

Albanian Economic Model Facing the Global Recession

Academic Journal of Interdisciplinary Studies, 2013

The Albanian economy after the 90'S entered in the tracks of the market economy. Entering into a new phase or a new economic system did not come as a result of an evolution or evolutionary process moving from feudalism to capitalism and from capitalism in its highest stage in imperialism but as a result of a revolutionary process 1 which was followed by the overthrow of the socialist system. So Albanian economy moved from a fully centralized to a decentralized system based on private property and free initiative. This passage was made through a most constrained and not gradual passing. In this shift there are many positive but also negative issues. These advantages and disadvantages were also reflected in the attitudes of this economy facing the world global recession. In this section we will analyze the Albanian economic model facing global recession in 2008 and in the following years. We will perceive the economic model through the degree of privatization of economic factors, and not by the rate of application of political instruments to achieve macroeconomic indicators. We will treat the mentioned ones in light of Classical and Keynesian theory.