scholarly journals Challenges of Kosovo Micro Businesses

2021 ◽  
Vol 7 (1) ◽  
pp. 23
Author(s):  
Fehmi Krasniqi ◽  
Hysni Terziu
Keyword(s):  
Interest Rates ◽  
Informal Economy ◽  
Capital Investments ◽  
Tax Rate ◽  
Regional Market ◽  
Local Business ◽  
Participation Of Women ◽  
Start Up ◽  
Low Interest Rates ◽  
The One

The challenges that micro-businesses face during the lending process are numerous. Loans are with high-interest rates. There is a lack of loans with low-interest rates that would stimulate the growth of local businesses. On the one hand, the local business faces various trade barriers such as export in the regional market and EU countries, although Kosovo is a signatory to the CEFTA agreement. On the other hand, there is a lack of institutional support, which not only does not support the stimulation of exports but also within Kosovo makes the local business non-competitive about importers of goods. Interest rates are reduced to 2-3% on an annual basis. Increase the repayment period of loans (long-term loans) for capital investments. Allow the grace period at the beginning of the investment as well as have variable payments based on business income. Reduce bureaucracies when taking loans, reduce the demand for collateral by banks when taking loans. Reduce the business tax rate. Reduce unloyal competition and the informal economy that hurts local business. To stimulate start-up businesses, to support projects especially in the field of informatics. Start-up businesses are not so much supported by banks in Kosovo. Increase women's participation in business, through support, because they make up about 13% of businesses operating in Kosovo. It is intended that the participation of women in business will reach 50%. Make greater support of micro-businesses because these businesses can grow and develop and employ a large number of employees. Microbusinesses in Kosovo make up about 98% of enterprises in Kosovo. Establish a development bank that would support local business and create better facilities and conditions for foreign investors.

The state, banks and financing of investments in France from World War II to the 1970s

2005 ◽  
Vol 12 (1) ◽  
pp. 63-86 ◽  
Author(s):  
LAURE QUENNOUËLLE-CORRE
Keyword(s):  
World War Ii ◽  
Interest Rates ◽  
Financial System ◽  
High Growth ◽  
Growth Period ◽  
Investment Banks ◽  
World War ◽  
Corporate Financing ◽  
Low Interest Rates ◽  
The One

This article examines how corporate financing has been adjusted during the high growth period after World War II. First, it discusses how the Ministry of Finance tried on the one hand to liberalise the system after the 1950s, but on the other hand, did not want to undermine the ‘Treasury circuit’ that allowed its administration to control the economic situation. Secondly, during 1960s, the relationships between state and banking industry became so tight that they strengthened the banking cartel and increased the banking system's contribution to the financial system. The high costs of issuing capital in France contrast with the low interest rates during the period. The French choice of financial system for economic development clearly did not favour markets, but focused on deposit and investment banks, and settled on both a ‘state-based’ and ‘bank-based’ system.

scholarly journals Landscape Installation Firms: I. Business Characteristics and Trends Affecting Industry Performance

1995 ◽  
Vol 13 (1) ◽  
pp. 31-34
Author(s):  
M.P. Garber ◽  
K. Bondari
Keyword(s):  
Interest Rates ◽  
Negative Impact ◽  
Positive Impact ◽  
Green Industry ◽  
Start Up ◽  
Industry Performance ◽  
Reasonable Cost ◽  
Low Interest Rates ◽  
Industry Trends

Abstract A survey of landscape installers in Georgia gathered information that would help segments of the green industry work together more effectively. We received 80 completed questionnaires for a 42.3% response rate. Approximately 76% of the firms surveyed were in the metro Atlanta area with 79% of all landscape projects located in Atlanta, Georgia. Georgia firms conducted approximately 98% of their business in Georgia. Three size classes of firms were established based on the 1993 wholesale value of plant material purchased, small (≤ $50K), medium ($50K-$200K), and large (> $200K). Approximately 20% of the firms accounted for 80% of the plants purchased. Large firms had a higher percentage of their projects designed by a landscape architect as compared to small or medium sized firms. Industry trends most frequently identified as having a potential positive impact on the industry over the next five years were: (1) an improving economy due to low interest rates (25.4%), (2) growing consumer interest in the quality of the environment (13.8%), (3) better consumer understanding of the value and benefits of landscaping (12.3%), (4) population growth in Atlanta area (12.3%), and (5) increased industry professionalism and establishment of minimum standards (9.4%). The five trends with the greatest potential for negative impact on the industry were identified as: (1) government mandated employee benefits (23.0%), (2) competitors that bid below the reasonable cost for a job (21.6%), (3) government regulations and taxes (15.8%), (4) increased interest rates (10.8%), and (5) more start-up companies and out-of-state competition (9.4%).

The Riksbank Endows a Nobel Prize

2019 ◽  
pp. 89-106
Author(s):  
Avner Offer ◽  
Gabriel Söderberg
Keyword(s):  
Interest Rates ◽  
Nobel Prize ◽  
Full Employment ◽  
The United States ◽  
Central Banks ◽  
The Other ◽  
Price Stability ◽  
Low Interest Rates ◽  
The One ◽  
Unintended Outcome

This chapter shows how the Swedish economy during the mid-twentieth century aided in the formation of a Nobel Prize in economics. During the 1950s, the forces of sound money in Sweden had become restive. When inflation began to rise, the choice appeared to be between full employment and housebuilding on the one side, or price stability on the other. The Nobel Prize was an indirect and unintended outcome of this dilemma. Unlike most central banks between the wars, the Riksbank was the bank of Parliament and belonged to the nation. After the war, low interest rates were imposed by government on the bank (as in the United States and Britain). In Sweden, the main reason was to keep housing credit cheap. The central bank was made to purchase government and mortgage bonds.

The Demand For Money in Pakistan: Reply (Notes and Comments)

1975 ◽  
Vol 14 (3) ◽  
pp. 370-375
Author(s):  
M. A. Akhtar
Keyword(s):  
Interest Rates ◽  
Money Demand ◽  
Strong Support ◽  
Physical Capital ◽  
Careful Examination ◽  
Demand For Money ◽  
Weak Support ◽  
Complementarity Hypothesis ◽  
The Difference ◽  
The One

I am grateful to Abe, Fry, Min, Vongvipanond, and Yu (hereafter re¬ferred to as AFMVY) [1] for obliging me to reconsider my article [2] on the demand for money in Pakistan. Upon careful examination, I find that the AFMVY results are, in parts, misleading and that, on the whole, they add very little to those provided in my study. Nevertheless, the present exercise as well as the one by AFMVY is useful in that it furnishes us with an opportunity to view some of the fundamental problems involved in an empi¬rical analysis of the demand for money function in Pakistan. Based on their elaborate critique, AFMVY reformulate the two hypo¬theses—the substitution hypothesis and the complementarity hypothesis— underlying my study and provide us with some alternative estimates of the demand for money in Pakistan. Briefly their results, like those in my study, indicate that income and interest rates are important in deter¬mining the demand for money. However, unlike my results, they also suggest that the price variable is a highly significant determinant of the money demand function. Furthermore, while I found only a weak support for the complementarity between money demand and physical capital, the results obtained by AFMVY appear to yield a strong support for that rela¬tionship.1 The difference in results is only a natural consequence of alter¬native specifications of the theory and, therefore, I propose to devote most of this reply to the criticisms raised by AFMVY and the resulting reformulation of the two mypotheses.

Remaking Retirement

2020 ◽  
Keyword(s):  
Interest Rates ◽  
Older Workers ◽  
Older Persons ◽  
The United States ◽  
Older Population ◽  
The Past ◽  
Cost Of Education ◽  
The World ◽  
Low Interest Rates ◽  
Key Aspects

Around the world, people nearing and entering retirement are holding ever-greater levels of debt than in the past. This is not a benign situation, as many pre-retirees and retirees are stressed about their indebtedness. Moreover, this growth in debt among the older population may render retirees vulnerable to financial shocks, medical care bills, and changes in interest rates. Contributors to this volume explore key aspects of the rise in debt across older cohorts, drill down into the types of debt and reasons for debt incurred by the older population, and review policies to remedy some of the financial problems facing older persons, in the United States and elsewhere. The authors explore which groups are most affected by debt, and they also identify the factors causing this important increase in leverage at older ages. It is clear that the economic and market environments are influential when it comes to saving and debt. Access to easy borrowing, low interest rates, and the rising cost of education have had important impacts on how much people borrow, and how much debt they carry at older ages. In this environment, the capacity to manage debt is ever more important as older workers lack the opportunity to recover for mistakes.

scholarly journals Occupational Choice and Investments in Human Capital in Informal Economies

2020 ◽  
Vol 0 (0) ◽  
Author(s):  
Lucila Berniell
Keyword(s):  
Human Capital ◽  
Informal Economy ◽  
Occupational Choice ◽  
Capital Investments ◽  
Educational Decisions ◽  
Managerial Skills ◽  
Model Predictions ◽  
Informal Economies ◽  
Human Capital Investments ◽  
Cross Country

AbstractInformality is pervasive in many developing countries and it can affect occupational and educational decisions. Cross-country data shows that the rate of entrepreneurship as well as the gap between the skill premium for entrepreneurs and for workers increase with the size of the informal economy. Also, in countries with larger informal sectors the fraction of high-skilled individuals that choose to be entrepreneurs is larger. To explain these facts, I develop a model economy with human capital investments, occupational choice and an informal sector, in which the investment in human capital improves the efficiency of labor as well as managerial skills, and the technology to produce goods exhibits capital-skill complementarity. Model predictions can account for cross-country evidence and also shed light on the mechanisms at work when the level of informality in the economy increases. In particular, a higher level of informality discourages human capital investments for workers while it incentivizes these investments for the case of some managers, mostly informal but talented.

scholarly journals Special Issue “Interplay between Financial and Actuarial Mathematics”

Risks ◽  
2021 ◽  
Vol 9 (8) ◽  
pp. 139
Author(s):  
Corina Constantinescu ◽  
Julia Eisenberg
Keyword(s):  
Machine Learning ◽  
Control Theory ◽  
Option Pricing ◽  
Interest Rates ◽  
Financial Mathematics ◽  
Special Issue ◽  
Actuarial Mathematics ◽  
Mortality Models ◽  
Low Interest Rates

The Special Issue aims to highlight the interaction between actuarial and financial mathematics, which, due to the recent low interest rates and implications of COVID-19, requires an interlace between actuarial and financial methods, along with control theory, machine learning, mortality models, option pricing, hedging, unit-linked contracts and drawdown analysis, among others [...]

Counter-cyclical public venture capital: Debt-funding as an anti-austerity innovation strategy

2017 ◽  
Vol 56 (3) ◽  
pp. 477-495 ◽  
Author(s):  
Alex Etzkowitz ◽  
Henry Etzkowitz
Keyword(s):  
Venture Capital ◽  
Interest Rates ◽  
Innovation Strategy ◽  
Productive Capacity ◽  
Knowledge Based ◽  
Low Interest Rates ◽  
The Usa ◽  
The Business Cycle ◽  
Smart Specialization ◽  
Private Venture

This article outlines a counter-cyclical innovation strategy to achieve prosperity, derived from an innovative project, the California Institute for Regenerative Medicine (CIRM). We identify an ‘innovation paradox’ in that the very point in the business cycle, when legislators are tempted to view austerity as a cure for economic downturns and to reduce innovation spend, is when an increase is most needed to create new industries and jobs and innovate out of recession or depression. It is both desirable and possible that policymakers resist the urge to capitulate to the innovation paradox. During periods that exhibit subdued inflation, elevated spare productive capacity, and low government borrowing rates, governments should increase their borrowings and use the proceeds to boost investment targeted towards innovation. We show how the State of California successfully utilized debt financing, traditionally reserved for physical infrastructure projects, to stimulate the development of intellectual infrastructure. Finally, we recommend a halt to European austerity policies and a ‘triple helix’ broadening of narrow ‘smart specialization’ policies that chase a private venture capital chimera. Europe should seize the present macroeconomic opportunity of low interest rates, borrow for innovation and be paid back manifold by ‘picking winners’, similarly to what the USA has been doing through DARPA (Defense Advanced Research Projects Agency) with GPS, as a response to Sputnik, the Internet and artificial intelligence, or the driverless car, formerly known as the ‘autonomous land vehicle’ in its military guise. Proactively targeted macroscopic investments in innovation are needed to solve the productivity/employment puzzle and foster the transition to a knowledge-based society.

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