Projects / Programmes
Alignment of the Slovenian economy and development identity of Slovenia in the EU
January 1, 2004
- December 31, 2008
| Code |
Science |
Field |
Subfield |
| 5.02.00 |
Social sciences |
Economics |
|
| 5.03.00 |
Social sciences |
Sociology |
|
| 5.05.00 |
Social sciences |
Law |
|
| Code |
Science |
Field |
| S180 |
Social sciences |
Economics, econometrics, economic theory, economic systems, economic policy |
economic policy, EMU, integration, postkeynesian model of transition, neoclassical shock therapy, neoclassical gradualism, Slovenia, transition and economic performance, type I reforms, mergers and acquisitions, economic nationalism, implementation of the EU regulation, Societas Europea, one-tier governance system, workers co-determination, Companies Act
Researchers (13)
Organisations (1)
Abstract
Slovenia decided to implement the fast-track approach for joining the EMU. Although it limits a number of exchange rate and macroeconomic risks, the strategy of quick euro adoption simultaneously requires a highly orchestrated domestic economic policy intervention. Lowering of inflation in Slovenia to comparable euro area level will be evidence that the gradual approach to economic transformation after 1990s, as it has been practiced in the Slovenian economy, is compatible with swift monetary integration and ultimate adoption of the euro.
Ex post analysis of transition models brings out significant Post Keynesian elements in many countries, especially in Slovenia. In the economic policy performed by Slovenia during the transition there has been a mix between Neoclassical (shock) therapy and Keynesianism. Without an explicit reference to Keynes there were many measures assuring a high level of aggregate demand that enabled a rapid exit from transformational depression to stable economic growth and decrease in unemployment, but under persistent moderate inflation.
Furthermore the research group has been researching the field of financial markets and especially: connection between business cycles and financial markets' cycles, financial markets' efficiency in transition countries, financial crises determinants in emerging economies, management and avoiding of financial crises and profits and risks connected with mutual funds.
Capital accounts liberalization has especially in the last ten years caused teutonic shifts in ownership structure in Europe as well as in transition countries. These development enabled consolidation of the European strategic industries (airplane industry, armament industry, space program), but has also pointed to risks which occur with entrance of foreign capital in strategic sectors – especially in the field of energy. It has become a very challenging task for national governments to control home economic developments as well as fulfilling national economic goals. Our research shows that expectations of politicians, media and professionals differ to a great expent. Unlike Politics and media, the profession did not judge these processes through the prism of so called. National interests.
Along with contextual research according to the program of the research group also methodological research has been carried out. It is of utmost importance especially due to the fact that emerging of new economies as well as integration processes are bringing the challenge of short time series, which often prevent consistent causality analysis as well as forecasting. Therefore we are developing new methods for the analysis of short time series, especially in the field of detection of nonlinearity. The solutions, which we already developed, have been tested not only in the field of economics, but also in the medicine. The developed methods showed high robustness and resolution which is extremely important in the analysis of time series. The methods were successfully applied with financial market analysis, where using the sample of ten transition countries we could prove some specialties, which are valid for new transition financial markets.
Dissemination has represented an essential output of the research group, here meaning especially legal consolidation of the European corporate governance system. In thie very field the research team has been consulting lawmakers when preparing the Slovenian Companies Act, changing of the Codex on public companies' governance and co-operation with the project of the one-tire corporate governance system introduction in Slovenia.
Significance for science
l. In the beginning of the 21st century more and more signs of exhaustion of neoclassical paradigm in economic policy are present. Thus the economic theory is faced with the new challenges. The new challenges can be first of all addressed with the empirical analysis with ex post assessment of theoretical assumptions. The next step is in simulation of the economic policy alternatives based on different theoretical concepts enabling comparative analysis. Study of a successful economic transition in the framework of enlarged EU represents one of the ways to find answers of the global questions of economic theory. Sometimes fundamental laws and principles are more explicable in peripheral economies. We believe that this research program deepens and broadens the understanding of laws and principles of a peripheral economy in the process of integration towards the one of the global centers. ll. Empirical studies of PPP in transition countries (new EU members and others) are scarce. The application of panel data techniques will additionally enrich the scientific literature in this field. lll. In the field of C-B M&A partly incompatible imperatives of economic growth, competitiveness and market order meet: the globalization brings requirement for cost reduction, developing European integration needs consolidation of most important industries, while European Commission must control market order with these processes. With the help of research of economic effects and acceptance of C-B M&A in Europe a contribution to science will be attempted by robust empirical analysis of stylized facts. It should help to further explain the C-B M&A issue and the relation of real economic policy towards it.. lV. Results of the program will reveal new mechanisms via which unpredictable disturbances can constructively affect order and coherence in economical systems and society in general. Especially the constructive effect on the social dynamics is completely new, and thus represents a substantial contribution to the scientific development and interdisciplinary approach, which is, in the light of crowdedness and difficulty of publishing in scientific media, of essential importance for success and propagation. Results will also indicate new and innovative directions of foretelling certain economical states, thereby additionally enriching the scientific literature. V. Regarding the existing differences between the American and European legal system that lead to the different outcomes in dealing with the same concentrations in the USA and EU, this research will contribute to the approximation of both systems in the field of competition law and to the lessening of conflict decisions. At the same time the results of the research will contribute to the idea of increasing competitiveness by means of adequate control of concentrations correspondingly considering economic efficiency.
Significance for the country
l. There is no doubt that the principles of good governance are important for the government and economic policy as well. Slovenia’s socio-economic and cultural development will benefit from the answers to the most important conceptual questions of the economic policy. A tool to evaluate the alternatives in the economic policy will be developed enabling to define the most suitable responses to current economic developments. II. The analysis of the PPP will offer possibility for the Slovenian government to better asses the processes of adjustment. III. The relation of the Slovenian economic policy towards FDI and especially towards C-B M&A is quite ambivalent. Here more arguments are present between politically accepted point of view on one side and empirical proofs on the other than between structures concerned with these processes. Such relation could be connected also with the problem of closeness of small homogenous national community (North). The research program will contribution empirical proofs - stylized facts regarding economic effects of C-B M&A and will thus enable discussion on importance of opening of the Slovenian society basing on new arguments. Here the goal of research is compatible to relative price and wages research also being conducted within this program and which proves the importance of openness for a small open economy wishing to close the gap with knowledge. Public presentations and popular contributions in media will be one of pillars of knowledge dissemination with this research. lV. Distinctive feature of the proposed programme is also the emphasis on the applicability of the research results and their direct implementation into business practice. Here we will build on achieved results in the filed of finance and banking, where we presented new methods for implementing Basel II (Jagric and Jagric 2007) in the business practice and which have already been adopted by the second largest bank in Slovenia. Because anticipated studies are via evolutionary game theory intimately linked also with sociology, the results of the programme will surely have weight also in the light of the socio-economic development of the Republic of Slovenia. In particular the specification of optimal conditions, in the sense of the type and strength of external perturbations, at which cooperation and with it related social welfare is maximal, can have a positive effect on the socio-economic development of the Republic of Slovenia. V. Regarding the adjustment of Slovenian competition law with the EC competition law, the results of the research of the concentrations’ control in the European Union from the competition law perspective and the growing importance of economic analysis of competition law will contribute to a great extent to the interpretation and application of the rules in the Slovenian competition law. The review of the statistics of the Slovenian Competition Office reveals that most of procedures investigated by this authority were connected to the control of concentrations. The same situation can be perceived in other states including EU. As a consequence a growing need for literature and professionals in this field is expressed and required. Results of the research program will be directly applicable with the study programs at all cooperating faculties.
Most important scientific results
Final report,
complete report on dLib.si
Most important socioeconomically and culturally relevant results
Final report,
complete report on dLib.si
