Volume 21 / 2005
THE ANALYSIS OF THE CORRELATION BETWEEN THE EVOLUTION OF THE GDP AND THAT OF THE CAPITAL AND LABOUR FACTORS IN ROMANIA
Gheorghe ZAMAN, Zizi GOSCHIN, Claudiu HERTELIU
Abstract: Researching the correlation between GDP and production factors has been performed based on several procedures and quantitative-qualitative techniques, so as to underpin hierarchies and provision the factors’ contribution to GDP. Our study approaches first the dynamic correlation between GDP and gross formation of fixed capital, based on using the ICOR (incremental capital output ratio) indicator, with and without time lag, in four computation variants and thereafter the relation between GDP and the capital and labour production factors with the help of the production functions of the type Cobb-Douglas. Both directions of analysis have been finalised with prognosis computations with respect to investment needs in order to ensure a certain growth of GDP for the future.
Keywords: GDP growth; production factors; quantitative-qualitative techniques.
Classification-JEL: E22; C10; C31.
Abstract: India and China are without doubt two superpowers in becoming, as they jointly own 40% of the world’s population and about 20% from the global economy. Their accelerated growth paces (8 – 9 % in the last decade) put to hard trials the scenarios of world’s development for a larger time horizon, which, in general, approach them independently. But, since the economic development of states in the globalisation era relies decisively on the evolution of political interests games at planetary scale, the hypothesis of a strategic Indian-Chinese alliance determines another configuration of the future map of world’s economy than the one perceived as predictable in the present. For better evaluation of such a possibility, we present in the following some recent economic earmarks of India’s, respectively China’s development, as well as, in conclusion some considerations with respect to the current fields of joint strategic interest of the two states, and their possible alliance.
Keywords: world development, world economy, globalization.
Abstract: The paper dedicated to the mechanised industry start-up shows the transformations triggered within this sector by shifting in various sectors from manual labour and technique to mechanised labour and technique, the latter turning out to represent in just a few decades the industrial production of the country. The industrial revolution, based on import, and the beginning of the industrialisation process have recovered over half of the century the economic delay in Romania’s development.
Keywords: industrial start-up; mechanized industry; industrial revolution.
Vergil VOINEAGU, Emilia TITAN
Abstract: In view of knowing the essence of phenomena it is necessary to perform statistical data processing operations. This allows for shifting from individual data to derived, synthetic indicators that highlight the essence of various phenomena. The high volume and diversity of processing operations presuppose developing plans of computerised data processing. To identify distinct and homogenous groups and classes it is necessary to realise well-pondered groupings and classifications that presuppose to comply with the requirements presented in the article.
Keywords: computerized data processing; statistics; synthetic indicators.
Emilian M. DOBRESCU
Abstract: Having as starting point Radu Stoenescu’s book with respect to discount, and the difficulty in defining discount, we pursue to clarify this category and other associated ones, such as reference rate, discount rate, re-discount and its rate, in a historical and actual approach. The purpose is to demonstrate that the monetary policy about discount influences the economic policies and that is why it must be altered and guided in accordance with the changes of current economic-financial activity.
Keywords: economic policies; discount; monetary policy.
Abstract: Most of the times, the minimum wage is regarded as main instrument of poverty diminishment. From the experience of developed countries it results that the increase of the minimum wage must carefully be determined so as not to trigger negative effects on employment, and not to exceed the one of the average wage. The International Monetary Fund has shown concern with respect to the consequences of increasing minimum wage, indicating that even agreeing with social programmes, the significant increase of the minimum wage above the level of labour productivity increase shall hinder the deflation process ad the Romanian economic competitiveness and that would affect, finally, more population categories with lowest incomes. The paper researches, in its first part, the relation between the minimum wage, the average wage and the level of inflation from the theoretical viewpoint, and in the second a statistical analysis is performed with respect to the evolution of these indicators and the relationship between them in Romania for the period after 1990.
Keywords: minimum wage; price; level of inflation.
Classification-JEL: J38; E31.
Abstract: Transformation of a totalitarian, basically administratively coordinated system into a democratic one that is coordinated predominantly by markets and competition has been triggered by, among others, the perception of a serious deficit in welfare and happiness. Public policy has a special task transforming the economic order by liberalisation, privatisation, stabilisation and the installation of institutions that are supportive for competition. After 15 years since transformation began, there are sufficiently differentiated success stories to test the hypothesis: it was good governance that is responsible for success and bad governance for failure. The empirical results support the “Lorenzetti hypothesis”: where freedom, security and trust prevail, the economy flourishes, where they are lacking, the costs of long-term investment are too high. The initial conditions of transition countries seem to be quite similar, nevertheless, even there one can discern good and bad governance. The extent of socialist lawfulness, planning security, cronyism and corruption differed widely between East Berlin and Tashkent. And a good deal of such variations can be found in the pre-socialist history of these countries. However, the main conclusion is that the co-evolution hypothesis states that both, welfare and good governance, go together.
Keywords: governance; public policy; transition countries.
Classification-JEL: G38; P20.
Abstract: The parties involved in negotiating collective labour contracts define and follow their objectives from the perspective of interests that determine their existence. After 1989, in Romania, due to privatisation, at the companies’ level substantial changes have occurred with respect to the hierarchy coefficients. As a result, companies endowed with modern technologies and producing for export have motivational policies for their personnel, so that these are concerned with respect to the performance increase. Trade unions almost gave up direct involvement in determining and executing the incomes and expenditures budget, being concerned lately with achieving safe labour conditions, increasing professional training, and maintaining and raising the actual wage. The responsibility for optimising the relationship between labour and capital is with employers and trade unions, and the efficient solving of labour market issues cannot be done but through government, employers’ organisations and trade union.
Keywords: wage policy; social responsibility; collective bargaining.
Classification-JEL: J38; J50.
Abstract: The social-economic implication of climatic changes in Romania are analysed under the following viewpoints: causes and effects; prevention and abatement; adjustment; institutional aspects of environmental management. The main reason of climatic changes is generated by the greenhouse effect (GE) that determines the heating of the terrestrial surface, melt-down of icebergs, tornados, draughts and flooding more frequently and of increasing intensity. These extreme meteorological phenomena determine, over time, increasing human and material losses, which imposes measures with effects on short-, medium- and long-term for diminishing the greenhouse effect in accordance with the commitments and provisions of the Kyoto Protocol and the requirements for the sustainable development of the country. Proposals are made with respect to integrating environmental issues into economic and social development strategies, emphasising the need for increasing environment financing and attaching more importance to the Ministry of Environment which must couple its policy with the acquis communautaire and the EU programme for combating and preventing GE impact.
Keywords: climate changes; environmental management; economic and social development.
Abstract: In the last decades, as a result of large scale restructuring of production devices, but also due to the expansion of competitive mechanisms, non-manual professions have significantly increased their weight in total employed population. Having as starting point these realities, the present article intends to quantify the relations established between the manual and non-manual segments of employed population and their impact on economic growth in Romania and other 11 member countries of the European Union. To this end, estimates of parameters for a quasi-homogenous function are done. The obtained results reveal a stronger correlation between the GDP dynamics and the one of the employed population in Western European countries comparatively to the countries of Central Europe. Also, a rather strong correlation is present between the dynamics of the two considered segments of employed population which makes feasible estimates difficult to obtain for some indicators such as: substitution elasticity or scale performance.
Keywords: professional structure; macroeconomic performance; restructuring of production devices.
Tiberiu Cristian AVRAMESCU
Abstract: The complex interaction mechanism between state and market economy implies the requirement that public power make use of adequate means and techniques for the difficult role the state has to play within economy. The allocation, distribution and, especially, regulatory role of the state presupposes the promotion of economic policy. The involvement of state in the field of tourism is determined by the importance of this sector for the national economy and by its features in relation to other production sectors. The assistance that governments might grant has various forms, from promoting the image of the country as tourist destination to realising the general infrastructure to tax exemption for operation with a tourism character. Even though the tourism sector is regarded, generally, as pertaining to private enterprise, tourism expansion was accompanied by a more and more considerable coordination of the governmental actions.
Keywords: economic policies; sustainable tourism; tourism expansion.
Abstract: Positive externalities that might appear as a result of foreign direct investments cannot be internalised by national companies in the absence of a critical mass of the absorption capacity at company level, and at the level of the national economy. The present study makes reference to four categories of multiplication effects that FDI might have on companies from the host country, the achievement of which is conditioned by their absorption capacity.
Keywords: FDI, R&D potential; externalities; technological capacity.
Classification-JEL: F21; F23; O31; O33; O38.