The effects of the economic crisis on income convergence in the European Union

2012 ◽  
Vol 62 (2) ◽  
pp. 161-182 ◽  
Author(s):  
Nenad Stanišić
Keyword(s):  
European Union ◽  
Economic Crisis ◽  
Purchasing Power Parity ◽  
Gdp Per Capita ◽  
The European Union ◽  
Income Convergence ◽  
Power Parity ◽  
Trade Theory ◽  
Per Capita

This paper evaluates income convergence in the European Union, between “old” (EU15) and “new” member states from Central and East Europe (CEE10), and among the countries within these two groups. The GDP per capita convergence should be expected according to the exogenous economic growth model and neoclassical trade theory. The presence of σ-convergence and both absolute and conditional β-convergence is tested for on a sample of 25 European Union countries (EU25). Results confirm the existence of β-convergence of GDP per capita at purchasing power parity among EU25, but not among EU15 and CEE10 countries. σ-convergence has been confirmed among EU25 and CEE10 countries, while GDP per capita has been diverging in the EU15 group of countries. Moreover, the results reveal that recent economic crisis has reversed long-term tendencies and led to income convergence within EU15 and divergence within CEE10. During the crisis, the income differences among the EU25 countries have increased, but the scope and duration of this effect has been limited and has not affected the long term convergence path. However, the obtained long term speed of convergence is significantly lower compared with the previous researches.

LATVIAN THEME PARK DEVELOPMENT IN KURZEME AND VIDZEME

2021 ◽  
Author(s):  
Baiba Rivza ◽  
Uldis Plumite
Keyword(s):  
Purchasing Power Parity ◽  
Rapid Development ◽  
Gdp Per Capita ◽  
The European Union ◽  
Theme Parks ◽  
Power Parity ◽  
National Economic ◽  
Per Capita ◽  
National Economic Policy ◽  
The Eu

The economy of Latvia is experiencing rapid development in the European Union and is an active participant of the United Nations and North Atlantic Treaty Organization. In recent years there have been several changes in both sectors and national economic policy. The total population in Latvia was estimated at 1.9 million inhabitants in 2019 and a total GDP per capita was 63% of the EU average, the lowest GDP per capita in purchasing power parity was recorded in Bulgaria - 46% of the EU average, Romania - 60% and Croatia - 62%. Lithuanian and Estonian GDP per capita in 2019 was accounted for 74% of the EU average. Latvia has more than 12 theme parks, but the amusement offer is small. Most of the theme parks are mostly located in Kurzeme and Vidzeme. Attraction Parks historically evolved near the big cities, where the infrastructure is highly developed. The aim is to increase the influx of tourists in regions where tourism products are amusement parks, thus developing more local businesses and the city's environment, increasing the demand for an active economic environment, but regional laws often hinder this development.

scholarly journals THE PRICE EVOLUTION IN THE CONTEXT OF ECONOMIC CRISIS

2017 ◽  
Vol 2 (1) ◽  
pp. 72-80
Author(s):  
Doriana Andreea Ramescu ◽  
Nicoleta Sirghi
Keyword(s):  
European Union ◽  
Economic Crisis ◽  
Purchasing Power Parity ◽  
Price Level ◽  
Developed Countries ◽  
Trade Association ◽  
The European Union ◽  
Power Parity ◽  
Research Information ◽  
Goods And Services

The economic crisis is a negative macroeconomic phenomenon with consequences both at European Union level and worldwide. The main objective of this paper is to analyse the variation of price levels in Romania, during the economic crisis until the end of 2015, compared with the Member States of the European Union and the countries of the European Free Trade Association. For this research, information provided by EUROSTAT was used, such as price level indices for actual individual consumption per capita, and for different goods and services, calculated based on purchasing power parity. The aim is to identify solutions to rising living standards, compared with more developed countries of the European Union. This paper presents possible solutions for avoiding a future economic crisis, caused by overconsumption. The paper is divided into four sections: introduction, part two which presents aspects of the economic crisis in Romania and in the European Union, the third part presents price level indices for different products and services in 2015, and the last part, the conclusions of the research.

scholarly journals Food Affordability and Economic Growth

TEM Journal ◽  
2020 ◽  
pp. 1571-1579
Author(s):  
Ruslan Mudrak ◽  
Volodymyr Lagodiienko ◽  
Nataliia Lagodiienko ◽  
Vitalii Rybchak
Keyword(s):  
Purchasing Power Parity ◽  
Functional Characteristic ◽  
Alcoholic Beverages ◽  
Power Parity ◽  
Per Capita Gdp ◽  
Food Expenditures ◽  
Per Capita ◽  
Food Affordability ◽  
Constant Prices

The conducted correlation-andregression analysis revealed a close inverse connection between the functional characteristic "share of the expenditures for food and non-alcoholic beverages in the structure of the total expenditures of the households" and the factorial characteristic "GDP per capita by purchasing power parity, at constant prices". The response of the share of food expenditures in the structure of the total expenditures of the households to per capita GDP growth corresponds to the law of diminishing returns. The pattern is manifested in the long-term period.

scholarly journals THE CONTRIBUTION OF MIGRATION TO ECONOMIC GROWTH: THE EXAMPLE OF THE CITY OF ZAGREB

2021 ◽  
Vol 21 (1) ◽  
Author(s):  
Vinko Miličević ◽  
Danijel Knežević ◽  
Zoran Bubaš
Keyword(s):  
Economic Growth ◽  
European Union ◽  
Economic Activity ◽  
Economic Benefits ◽  
Gdp Per Capita ◽  
The European Union ◽  
Per Capita ◽  
The Republic ◽  
The Impact ◽  
The City

The problems in this paper belong to the field of migration and economy. The connection between migration and the economy has been proven on a global level, and as far as the Republic of Croatia is concerned, it is especially important to observe it through the City of Zagreb, which is the most important migration and economic center in the Republic of Croatia. Also, the accession of the Republic of Croatia to the European Union emphasized the observation and research of this connection because it created the preconditions for freer movement and employment of the population of the Republic of Croatia and the City of Zagreb within the European Union. The aim of this paper is to determine the contribution of migration to the economic growth of the City of Zagreb. The hypothesis presented in the paper is that there is a significant contribution of migration to the economic growth of the City of Zagreb. The disposition of the paper consists of six parts. The introduction explains the relevance of the topic, states the aim of the paper and hypotheses, explains the empirical part, the contribution of the paper and the disposition. The second part of the paper refers to the theoretical framework of the impact of migration on economic growth. The third part of the paper presents the migration processes of the City of Zagreb in the period from 2011 to 2018. The fourth part deals with economic activity in the City of Zagreb in the period from 2011 to 2017. The observed indicators of economic activity in the City of Zagreb are GDP and GDP per capita, and the graph in this part of the paper shows that GDP and GDP per capita in the observed period are higher at the end of the period than at the beginning. The fifth part of the paper refers to the empirical research of the contribution of migration to the economic growth of the City of Zagreb. The empirical part of the paper is based on correlations and regression analyses. This paper proves the hypothesis because the results indicate a significant impact of the variables of total and external migration on the GDP of the City of Zagreb and GDP per capita of the City of Zagreb. Decision-makers in the City of Zagreb can use the results of the research as a basis for maximizing the economic benefits they can get from migration. The conclusion provides an overview of the aim of the work, the results of the research, the limitations, the implications and the recommendations for future research.

The use of beta regression in the modelling of severe material deprivation indicator in the European Union countries

2018 ◽  
Vol 63 (3) ◽  
pp. 24-39
Author(s):  
Hanna Dudek
Keyword(s):  
At Risk ◽  
European Union ◽  
Social Protection ◽  
Variable Interval ◽  
Poverty Rate ◽  
Material Deprivation ◽  
The European Union ◽  
European Union Countries ◽  
Per Capita

The severe material deprivation rate indicates the proportion of the population that cannot fulfil at least four of the nine needs identified as basic ones in the European conditions. The study attempts to identify factors differentiating this indicator in the European Union countries. The parameters for regression beta models were estimated on the basis of data from the European Survey of Income and Living Conditions (EU-SILC) for 2014. Such models are useful when the value of the dependent variable interval is included between 0 and 1. It was found that severe material deprivation rate is affected by such factors as: type of household, median equalized disposable income, at-risk-of-poverty rate, relative median at-risk-of-poverty gap, inequality of income distribution, long-term unemployment rate, GDP per capita, and share of social protection expenditure in GDP.

European Union-28: An annualised cost-of-illness model for venous thromboembolism

2016 ◽  
Vol 115 (04) ◽  
pp. 800-808 ◽  
Author(s):  
Stefano Barco ◽  
Alex L. Woersching ◽  
Alex C. Spyropoulos ◽  
Franco Piovella ◽  
Charles E. Mahan
Keyword(s):  
European Union ◽  
Venous Thromboembolism ◽  
Purchasing Power Parity ◽  
Indirect Costs ◽  
The United States ◽  
Cost Models ◽  
The European Union ◽  
Power Parity ◽  
Total Hospital ◽  
Illness Model

SummaryAnnual costs for venous thromboembolism (VTE) have been defined within the United States (US) demonstrating a large opportunity for cost savings. Costs for the European Union-28 (EU-28) have never been defined. A literature search was conducted to evaluate EU-28 cost sources. Median costs were defined for each cost input and costs were inflated to 2014 Euros (€) in the study country and adjusted for Purchasing Power Parity between EU countries. Adjusted costs were used to populate previously published cost-models based on adult incidence-based events. In the base model, annual expenditures for total, hospital-associated, preventable, and indirect costs were €1.5–2.2 billion, €1.0–1.5 billion, €0.5–1.1 billion and €0.2–0.3 billion, respectively (indirect costs: 12 % of expenditures). In the long-term attack rate model, total, hospital-associated, preventable, and indirect costs were €1.8–3.3 billion, €1.2–2.4 billion, €0.6–1.8 billion and €0.2–0.7 billion (indirect costs: 13 % of expenditures). In the multiway sensitivity analysis, annual expenditures for total, hospital-associated, preventable, and indirect costs were €3.0–8.5 billion, €2.2–6.2 billion, €1.1–4.6 billion and €0.5–1.4 billion (indirect costs: 22 % of expenditures). When the value of a premature life-lost increased slightly, aggregate costs rose considerably since these costs are higher than the direct medical costs. When evaluating the models aggregately for costs, the results suggests total, hospital-associated, preventable, and indirect costs ranging from €1.5–13.2 billion, €1.0–9.7 billion, €0.5–7.3 billion and €0.2–6.1 billion, respectively. Our study demonstrates that VTE costs have a large financial impact upon the EU-28’s healthcare systems and that significant savings could be realised if better preventive measures are applied.

scholarly journals COMMENCEMENT OF NEGOTIATIONS AND A SIGNIFICANTLY INCREASED PRESENCE OF THE EU AS THE BASIS OF STABLE GROWTH AND DEVELOPMENT OF BOSNIA AND HERZEGOVINA

2018 ◽  
pp. 147-166
Keyword(s):  
European Union ◽  
Bosnia And Herzegovina ◽  
Socioeconomic Development ◽  
Eu Enlargement ◽  
Negotiation Process ◽  
Gdp Per Capita ◽  
The European Union ◽  
Per Capita ◽  
Slow Tempo ◽  
The Eu

It is important for Bosnia and Herzegovina, but also for the European Union, that the negotiation process begins as soon as possible. Real changes in the legal, administrative and political sense commence only with fulfilment of benchmarks for opening and closing of chapters. The negotiation process is also important for learning and progressing in the understanding of European policies which help to strengthen state institutions, democracy and openness to grow and result with stronger economic growth due to an increased level of trust and safety. It is important for the European Union that the country at the very heart of Europe, which belongs to Europe not only geographically, but also historicallyand in terms of tradition and culture becomes a part of it as soon as possible and also in terms of the standards it applies. In this paper we give an overview of recommendations that the European Commission has provided to Bosnia and Herzegovina since 2002, and it is precisely from the recommendations which are being repeated each year that the most important challenges which Bosnia and Herzegovina needs to solve are still visible. Rule of law, respecting human rights and rights of minorities, as well as the constitutionality of the three nations, in addition to a fast and efficient judicial system and the public sector as a whole are the key elements for fulfilling political, legal and administrative criteria. In terms of GDP per capita in PPS, B&H has been converging during the last ten years, however with a very slow tempo. Thereby in 2005 GDP per capita in PPS amounted to 24 % in relation to EU28, whereas during the last four years it amounted to 29%. At the moment B&H is significantly lagging behind even the least developed Member States and convergence towards the EU average is necessary because on the current level B&H could not equally participate in the EU Single Market, and accession would create more obstacles than advantages. The EU is expected to take a more active approach in solving the challenges of economic convergence of B&H, therefore in this paper is provided and overview of the priorities of the new EU Enlargement Strategy in which support to socioeconomic development is pointed out as one of the initiatives.

PROCESSED FOOD TRADE OF EUROPEAN UNION COUNTRIES – THE GRAVITY APPROAC

2021 ◽  
Vol XXIII (2) ◽  
pp. 96-108
Author(s):  
Agnieszka Sapa ◽  
Łukasz Kryszak
Keyword(s):  
European Union ◽  
Consumer Preferences ◽  
Gdp Per Capita ◽  
Significant Feature ◽  
Processed Food ◽  
Trade Theory ◽  
Eu Countries ◽  
Per Capita ◽  
Linder Hypothesis ◽  
The Impact

A significant feature of world trade development is the diminishing role of developed countries in the international agri-food market. The share of the European Union in processed food export has been reducing steadily from 2000, giving place to developing countries at the same time. Considering studies devoted to the factors influencing bilateral trade, the question to what extent the trade of processed food depends on consumer preferences represented by absolute differences of GDP per capita (Linder hypothesis), geography, and trade liberalization remains open. It is interesting in the context of the new demand-oriented trade theory and the globalization process that causes a shrinking distance. The main purpose of the paper is to indicate the impact of consumer preferences and geography on the export value of processed food of EU countries in 2000-2019. To achieve this goal, the gravity model was constructed and estimated via Hausman-Taylor panel regression. The dependent variable was the bilateral export value of processed food of EU countries. The independent variables included GDP, geographical distance between partners, differences of GDP per capita of exporters and importers as a proxy of the Linder hypothesis, membership in a preferential trade agreement, and being landlocked. Research confirmed the validity of the Linder hypothesis and the significance of geography and regional trade integration in shaping the export value of processed food of EU countries.

scholarly journals Renewable Energy in the Electricity Sector and GDP per Capita in the European Union

Energies ◽  
2019 ◽  
Vol 12 (13) ◽  
pp. 2520 ◽  
Author(s):  
Mihaela Simionescu ◽  
Yuriy Bilan ◽  
Emília Krajňáková ◽  
Dalia Streimikiene ◽  
Stanisław Gędek
Keyword(s):  
European Union ◽  
Renewable Energy ◽  
Renewable Energy Sources ◽  
European Union Member State ◽  
Electricity Sector ◽  
Gdp Per Capita ◽  
Future Research ◽  
The European Union ◽  
Real Gdp Per Capita ◽  
Per Capita

Considering that the European Directive has imposed that at least 20% of the total energy should come from renewable energy sources (RES) by 2020 already and the specific targets for each European Union Member State, this paper attempts to assess the importance of GDP per capita in realizing these targets and also the effects of the RES share in electricity. Contrary to previous research, this paper does not consider the connection between economic growth and RES, but rather the potential connection between the share of RES in electricity and the real GDP per capita. The panel data models indicated to a positive, but very low impact of GDP per capita on the share of RES in electricity in the period of 2007–2017 in the case of the EU countries, except Luxembourg that has outlier values of GDP per capita. However, causality between the two variables was not identified. Some groups of countries were described according to these variables using cluster analysis. Future research should focus on the extension of this model by including other important variables such as RES potential available in the countries with specific geographical conditions.

Sign in / Sign up

Export Citation Format

Share Document