bluuebunny/crossref_metadata_2025 huggingface dataset:
INTERNAL AND EXTERNAL FACTORS THAT DETERMINED INNOVATION DIFFUSION CHANNELS IN LITHUANIA
Authors: Binkauskas Gintaras
Published: January 2019

The prevailing opinion in Lithuania is that the country‘s economic growth was determined by the inflow of foreign direct investments (FDI). Their influence on the Lithuanian economy remains unquestionable, however, there is a tendency to overestimate their impact, while otherfactors are under-estimated or ignored completely when conclusions on their influence on the country‘s economy are drawn. Based on the data of the Department of Statistics of Lithuania, Eurostat, other agencies and the analysis of the research of Lithuanian and foreign academics on FDI, and the impact of the innovations on the country‘s economy, the given study presents the analysis of the three main channels for the technological and innovation diffusion, which have exercised a decisive influence on the economic development in Lithuania over the last decade. They are foreign direct investments, international trade, and the country‘s knowledge capital. These diffusion channels were considerably important in the transition period, however, the creation of original knowledge and innovations, or the creative application of the technology created in other countries and application of the knowledge gained abroad was utilised least. In Lithuania,, the creation and adoption of extended modifying innovations and technologies was dominant in terms of innovation modes, while the strategic innovations were created by only 1 percent of Lithuanian enterprises . A comparative analysis of surveys, statistical data, and academic studies was conducted and lead to the conclusion that the main technology and innovation diffusion channel, as well as the main driving force behind Lithuania‘s economy during the transitional period of 1996–2007 was neithert FDI nor the scientific potential of the country, but rather the international trade. In addition, the data suggests that the country‘s scientific potential was ill-prepared for the changes brought on by globalisation and had a very weak impact on the growth of the Lithuanian economy and the economy‘s technological and innovational reorientation, which led to the enterprises searching for other possible sources of innovation. The model for the creation of innovation eacompassing state institutions, the science community and enterprises was not functional during the said period in Lithuania.
RATING ESTIMATIONS OF THE ENTERPRISES: PROBLEMS AND MODELING
Authors: Kravets Tatyana
Published: January 2019

In modern times improvement of the estimation techniques related to the productivity of economic objects y is topical. The article deals with the problems of construction of the rating systems for the estimation of enterprises not related to the financial sector of the economy according to the results of their activity for a calendar year. yea. In order to construct the aggregated indicators for the estimation of the efficiency of the enterprise activity it proposes to unite thepossibilities of the classical financial analysis and the methods of the multidimensional statistical analysis. The created indicators accumulate the information on the initial indicators and are a convenient base for the construction of the rating estimations of enterprises.
INTERRELATION OF THE MONEY AND CAPITAL MARKETS
Authors: Jasienė Meilė , Paškevičius Arvydas
Published: January 2019

The structure of financial markets is a constantly developing organism displaying an ever-changing pattern of the weight in the overall financial market structure of its constituents such as capital market, money market and the market of financial derivatives as a product of thetwo markets. The changes and the new developments are caused by a vast number of reasons and factors including the interaction of the markets concerned. The structural changes taking place in the financial markets and the related forecasts are of great importance to the investors and investment portfolio managers. The financial markets of Lithuania have already become an integral part of the global financial system therefore the authors of the present study did not limit the scope of the survey exclusively to the Lithuanian markets and took a broader view by carrying out a survey of the financial market segments such as capital and money markets of a number of Eastern European, Western European, North American States and the Pacific Ocean region, also the trends of the structural developments as well as the factors causing the processes.The purpose of the present study was to assess whether capital and money markets develop in parallel, i.e., the development of one market creates the conditions favourable for the growth and development of the other, or the two markets perform as competitors. The object of the survey: money and capital markets of East European, West European, North American and Pacific Ocean region countries. Methods used: analysis of the research literature, statistical grouping, correlation analysis.
THE IMPACT OF THE INSTITUTIONAL ENVIRONMENT ON THE ECONOMIC DEVELOPMENT
Authors: Jankauskas Vidmantas , Šeputienė Janina
Published: January 2019

Economic literature recognizes three “deep determinants” of economic development: institutions, geography and openness to trade. Discussion in the literature focuses on what part of the income per capita variation can be explained by institutions, geography and openness to trade. The empirical results can’t offer a clear answer, but there is a broader agreement in the literature that institutions play a more important role than geography and openness to trade. What is unclear whether the institutions also can explain variation in per capita income across countries, in which institutional environment is to some degree similar..This article aims to explore and quantify the relationship of the income level with institutional environment, geography and openness to trade across countries, grouped according their institutional environment quality.The results reveal that extent to which the variation in GDP per capita can be associated with the quality of institutional environment differs a lot between good and bad institutional environment samples. The results in good institutional environment sample come in line with series of studies in which the strong and positive link between various measures of institutions and economic development was established and support primacy of institutions over openness to trade and geography. I In bad institutional environment sample, on the contrary,no evidence was found that institutions mean a lot in respect of differences in GDP per capita. These results should not be interpreted so as to mean that institutional environment is not important, rather the degree of “badness” makes no difference.
THEORETICAL AND METHODOLOGICAL ASPECTS OF INSURANCE CUSTOMER LOYALTY AND ITS CULTIVATION
Authors: Kindurys Vytautas
Published: January 2019

The article, after the evaluation of opinion of various authors, first of all deals with the contents of loyalty of the insured and gives its definition. It also discusses theoretical questions of insurers’ benefits due to loyalty of the insured, a the benefits of the insured themselves. While examining the factors influencing satisfaction and loyalty of the insured the conclusion is made that the most important factors are the image of an insurance company, its reliability, the comprehended quality of the insurance services and their price, and the means of motivation of the insured. Furthermore, the article discusses the effect of the corresponding factors on the emotional and rational loyalty of the insured and on the formation of true loyalty of the insured. The article pays exceptional attention to such theoretical issues of implementation means and actions of cultivating loyalty of the insured as the functions of the system of means of loyalty cultivation, the strategies of loyalty cultivation (financial motivation, social relations, meeting of individual requirements, structural relations).p>
THE MODEL OF TAX EVASION, ITS COHERENCE TO THE PRACTICAL TAX ADMINISTRATION
Authors: Anciūtė Aurelija , Kropienė Rūta
Published: January 2019

In this paper, a theoretical model of tax evasion, proposed by Allingham and Sandmo, is briefly presented. This model tries to explain the taxpayer’s decision to reveal only part of the taxable income and to evade taxes in this way. The main parameters of the model are personal income, the rates of tax and penalty, probability of the tax audit. By the method of comparative statics it is possible, at least partially, to evaluate the influence of changes of the model’s parameters on a person’s decision to evade tax.As some of the assumptions of the Allingam–Sandmo model differ from taxation rules in practice or the model’s conclusions do not match the actual taxpayers’ behaviour, in this paper some criticism and improvements of the proposed model are reviewed. A comparison of the model’s assumptions and actual aspects of the tax administration in Lithuania is also provided.This article contains also a model of tax evasion with regard for the peculiarities of tax administration in Lithuania and the possible corrections of tax audit probability function.
A SYSTEM OF ANALYSIS OF THE TOTAL LIABILITIES TO TOTAL ASSETS RATIO
Authors: Subačienė Rasa , Villis Liuda
Published: January 2019

The problem of solvency, which has been dealt with in many authors’ works, is exceptionally topical nowadays when settlements among companies are performed not in a timely manner, disturbing business possibilities to remain active in the times of economic recession. Solvency represents a company’s ability to cover current and non-current liabilities; also, it influences a company’s financial state, results of activities and further development. Therefore, analysis of solvency provides the basis for evaluating a company’s financial state.The means of assessing the total liabilities to total assets ratio by applying a system of pyramidal analysis, which reveals the actions that have a negative impact on this ratio, were investigated for the first time. The total liabilities to total assets ratio was selected as one of the long-term solvency ratios representing a company’s total level of liabilities and its further capacity of borrowing.The purpose of the article is to present a system of analysis of the total liabilities to total assets ratio. The methods used for this purpose were analysis of academic materials, filing of information, comparison and summarizing.
GROWTH AND OPENNESS RELATIONSHIP IN THE EU15: PANEL DATA ANALYSIS
Authors: Uğurlu Erginbay
Published: January 2019

Conventional wisdom suggests that openness of an economy promotes economic growth. There is still argument among economists concerning how a country’s macroeconomic variables and its economic growth interact in numerous econometric studies by using panel data. This paper examines the impact of openness on economic growth for the EU-15 area in 1996–2003. In our empirical work, we have used the panel data technique which is also called longitudinal data or cross-sectional time series data. Panel data is generally concerned with choosing among three alternative regressions that are named fixed effects, random effects and pooled model estimation. The variables used are growth, openness, price level, investment and government share of RGDP. We find that openness has had a weak but negative impact on economic growth in this region over this period. Also, we have found that an increase in investment and a decrease in government expenditure have supported economic growth in the EU-15 countries.
CAUSES OF FINANCIAL CRISIS: THE CASE OF LATVIA
Authors: Klyvienė Violeta , Rasmussen Lars Tranberg
Published: January 2019

In this paper, we review how Latvia developed during the boom period and discuss the key structural features of the Latvian economy. We show that a combination of monetary and fiscal expansion contributed to a greater vulnerability to external shocks. We also show that the GDP growth was largely driven by capital deepening, while productivity gains played a significantly smaller role. As a result, one of the most important explanations for the exceptionally deep recession in Latvia should be distortions in the non-traded sectors of the economy. Finally, we give a brief analysis on policy measures that have been taken to correct the distortions and possible pros and cons of an external devaluation.
FINANCIAL RISK ANALYSIS IN THE BUILDING SECTOR:A CASE STUDY OF ROMANIA (GALATI COUNTY)
Authors: Barbuta Nicoleta
Published: January 2019

The importance given to the problem of capital structure comes from the influence of debt on equity profitability (financial leverage) and the financial risk induced by debt. This paper is actually an analysis of the evolution of financial risk in the building sector during 2001–2008 on a sample of 11 enterprises in the Galati County, Romania. In this approach, we used information from the balance sheets of enterprises, provided by the Register of Commerce. To carry out this analysis two methods were used, which rely on the breakeven point and the leverage.Analysis of aggregate data reveal a low fluctuating trend of financial risk, which shows that by the end of 2008 the effects of the economic and financial crisis still have not been felt as much as statistics show in 2009. The conclusion that emerges from this study is that the world crisis produces major effects on the building sector, but they can be seen a bit later. The effects are disastrous for economy (lack of work, offs of staff, etc.), which is why the government began to seek solutions to relaunch this sector.p>
CONSUMPTION CULTURE IN THE PRESENCE OF GLOBALISATION: THE INFLUENCE OF RELIGION, NATION AND ETHNICITY ON CONSUMPTION PATTERNS
Authors: Ruževičius Juozas , Ruževičiūtė Rūta
Published: January 2019

The aim of this paper is to discuss existing consumption culture approaches and to analyse various consumption patterns determined by national, ethnic and religious differences. The current consumer culture is usually approached from two major positions: consumption homogeneity and consumption heterogeneity. Although globalisation has penetrated a number of areas in the modern world, one can see that consumption patterns have not become universal. The differences exist not just among the countries, but in some cases even within countries. The migration and population trends make these differences even higher. Even though the tendency of using the same products could be noticed all over the world, the reasons for consumption are different due to various national, religious or ethnical values. Paper type: general review.
THE IMPACT OF MACROECONOMIC INDICES UPON THE LIQUIDITY OF THE BALTIC CAPITAL MARKETS
Authors: Paškevičius Arvydas , Norkaitytė Ona
Published: January 2019

The present paper addresses the issue of the interaction of a range of macroeconomic indices upon the liquidity of Lithuanian, Latvian and Estonian capital markets, and includes a survey of the factors having an effect upon the processes. The analysis of the liquidity in the markets concerned in the period from 2001 to 2010 was performed with reference to indicators based on trading volumes in these markets. The correlation analysis performed for the purpose of the present paper showed that changes in a number of macroeconomic indicators, such as GDP, unemployment levels, trade and service balance, also the FDI flows, produced the most tangible impact upon the liquidity of the Baltic capital markets.
THE VILIBOR–EURIBOR SPREAD DYNAMICS DURING THE RECENT FINANCIAL CRISIS
Authors: Lapinskas Vytenis
Published: January 2019

This article deals with the influence of the international financial crisis on the Lithuanian interbank market interest rates. Specifically, VILIBOR–EURIBOR spread dynamics over the period from the beginning of 2005 until the end of 2010 is analysed. The objective of the study was to estimate and describe the main factors affecting the VILIBOR spread. Methods used in the study include a systemic analysis of related studies, historical data analysis and statistical testing.Several episodes of increased market volatility could be clearly identified during the period, under study and the volatility of the data series as well as changes in their statistical properties and interdependence make the statistical analysis of the relationship very complicated. Statistically robust results could be achieved only after introducing several restrictions. The EURIBOR, RIGIBOR and Lithuanian CDS indexes have been found to explain more than 40 percent of the largest VILIBOR spread changes.
ANTIECONOMY, ECONOMY CRISIS AND CRISIS OF ECONOMICS
Authors: Gylys Povilas
Published: January 2019

The gist of this article is the idea that the orthodox theory of economic crisis unduly reduces its subject to business crisis and that it is the outcome of the narrowness and limitedness of the individualistic economic approach to the problem, employed mostly by neoliberals and libertarians. As individualists (the individualistic camp) explicitly or implicitly identify economy with market, their perception of an economic crisis is reduced to business crisis, crisis of the production of private goods. However, the concept of economy is broader than that of the market; thus, an economic crisis cannot be reduced to a business crisis. In addition, the theory of economic crisis could be enriched by the concept of anti-economy, which does not fit the individualistic economic paradigm. Therefore, a correction of the theory of economic crisis is needed, and this correction should be done in a holistic cognitive framework. Holism opens the possibility (which doesn’t automatically guarantee cognitive success) to look at the economic crisis through a wider lens, to perceive it as a whole. The shift from individualistic reductionism to holism allows us to see a correlation between cognitive crisis and crisis in real economy, and to introduce the concept of systemic crisis.
DEVELOPMENT TRENDS OF GENERAL LIABILITY INSURANCE IN LITHUANIA
Authors: Augustytė Ugnė , Jurevičienė Daiva
Published: January 2019

The article deals with the situation of general liability insurance in Lithuania and its alteration, with an emphasis on the novelty of the topic. The essence of a particular insurance as well as the main insurable ranges in comparison with other types of insurance are reflected. The key problems related to general liability insurance in Lithuania are presented and discussed. A short overview of other countries’ experience is provided together with the nature of general liability insurance. The environment of general liability insurance and the key factors influencing it are discussed and highlighted. A qualitative and quantitative analysis of the development of general liability insurance market is made.
THE GLOBAL CHANGES: CREATING KNOWLEDGE-BASED SOCIETY AND KNOWLEDGE ECONOMY
Authors: Melnikas Borisas
Published: January 2019

The processes of creating knowledge-based society and knowledge economy in the context of global changes are described. A variety of global changes and the main processes of creating knowledge-based society and knowledge economy in the context of globalization are identified. The processes of creating knowledge-based society and knowledge economy are defined as the processes belonging to the category of global transformation processes; it means that the complex interaction between the general processes of global transformations and the processes of creating knowledge-based society and knowledge economy are a very important factor of positive changes in social life in the context of globalization. A complex analysis and the multidimensional evaluation of the processes of global transformations and of creating knowledge-based society and knowledge economy as a promising theoretical approach in research of social changes in the context of globalization is carried out. The main ideas of the complex analysis and of the evaluation of the factors of interaction between the general processes of global transformations and the processes of creating knowledge-based society and knowledge economy are analyzed.
RESEARCH ON SYNERGY CAUSED BY NETWORK EXTERNALITY: THE CASE OF LITHUANIAN FIXED TELEPHONE COMMUNICATIONS MARKET
Authors: Ličkus Petras
Published: January 2019

The paper presents a theoretical model of synergetic effect and explores the Lithuanian fixed telephone communications market before and after liberalization in accordance with network externality and user utility change when new users login. Based on the developed theoretical model, an empirical research was done. The aim of the research was to investigate the synergetic effect and to show the importance of network externality in the Lithuanian fixed telephone communications market. According to our theoretical model, there may be a situation when, after liberalization and due to increased competition, the profit of the market monopolist (ex) grows. This means that the competition caused by the decrease in revenue is offset by gains in the supply. In this case, the synergetic effect caused by the network externality takes place.
CLUSTER APPROACH AS ONE OF DETERMINANTS FOR INCREASING COMPETITIVENESS OF RIGA FREEPORT
Authors: Kasalis Edgars , Kassalis Ivars , Kasalis Jānis
Published: January 2019

The cluster-based approach offers a new way of dividing and understanding an economy and competitiveness. The main objective of the present study was to reveal the influence of industrial clusters on Freeport’s of Riga business competitiveness and integrated development. The cluster environment stimulates competitiveness and competition inside the cluster and the industry. One of the reasons for the current problems of Latvia’s competitiveness is the low level of business entities’ co-operation and business integration in the national economy of Latvia and the Freeport of Riga in particular. Companies are isolated in their approaches to increasing their competitiveness and entering the global market. In many cases it is too hard a task for a single company. Authors formulate the business entities’ co-operation and integration as a gateway to an integrated development and higher competitiveness in the global market. The cluster environment stimulates the integrated development of all business entities within the cluster. The article was written using scientific, normative and legal sources and data, systemizing good practice in other branches, as well as the results on authors’ systematic researches on the topic. The monographic method, method of logical analysis and synthesis, analysis of statistical information and the expert method wre applied.
THE SCOPE OF FUNCTIONS AND STRENGHT OF INSTITUTIONS IN ECONOMIC POLICY OF THE EU MEMBER STATES FROM CENTRAL AND EASTERN EUROPE. CONCEPTION OF ANALYSIS
Authors: Jaźwiński Ireneusz
Published: January 2019

The manner of conducting economic policy determines various phenomena and socio-economic processes, including economic development and growth, to a considerable degree. A significant role in economic and social sciences is attributed to international comparative studies. The aim of the study was introduction of the conception for analysis of the scope of functions and strength of institutions on an exampleof the national policies of the EU member states from Central and Eastern Europe.The paper introduces the selected dimensions of economic policy in the EU member states from Central and Eastern Europe. On the basis of the use of existing indices, the measures of these dimensions are proposed. Also, elements of the typology of economic policies of these countries considering the selected policy dimensions are presented.The analyses show that there are differences among national economic policies of particular states of Central and Eastern Europe. From the standpoint of economic policy and its dimensions, the situation is most favourable in countries with the most powerful institutions: the Czech Republic and Estonia. It is crucial to strive after improvement of the quality of institutions in individual states, which should result in a faster socioeconomic development and an increased efficiency of the public authorities.
DEMOCRACY AS AN ECONOMIC GOOD: A HOLISTIC APPROACH
Authors: Gylys Povilas
Published: January 2019

Abstract. In orthodox economic theory, democracy is treated as a non-economic phenomenon. Such an attitude is a logical consequence of the individualistic perception of social reality. Methodological individualism is based on the assumption that the only social actor is a separate individual with his self-interest. Consequently, there are no supra-individual, collective actors in social life. Accordingly, economy is equal to the market, and therefore public interests, public needs and other public phenomena are somewhat alien to economy. For individualistic thinkers, one of such non-economic phenomena is democracy, which is the concept of political science and does not belong to the scope of economic science. We argue that methodological individualism gives a distorted picture of economic reality and that a holistic paradigm should be applied in economic inquiry. In the framework of a holistic paradigm, democracy could be treated as an economic good created in the conditions of limited of resources. Moreover, it is an economic good of systemic character, and failures in producing, providing democratic regimes lead to systemic crises. The latter means the spread of anti-economic practices and substantial economic losses.
AN ECONOMIC APPROACH TO CORRUPTION TYPES
Authors: Gavelis Vytautas
Published: January 2019

Abstract. The objective of the article is to review specific criteria for the classification of corruption in the context of economic relations, to discuss its types and subtypes, and to reveal the peculiarities of transnational corruption in modern conditions. The classification of corruption highlights the significance of systemic approach, as well as emphasizes that corrupt relations can be studied both as a separate system and a subsystem. The article reveals the purpose of a corruption classification, correlation between corruption types and forms, and the main indicators for the classification of their qualitative and quantitative traits. It discusses the impact of most significant economic processes on different types of corrupt relations. Transnational corruption is analysed as a globalization stimulating, competition limiting factor. By emphasizing the danger of corruption, corruption concealment options in transnational transactions under the guise of public interest are discussed.Key words: corruption, corrupt transactions, demand-induced corruption, supply-induced corruption, transnational corruption
SOURCES OF LITHUANIAN ECONOMIC GROWTH: AN EMPIRICAL ANALYSIS WITH SECTORAL DATA
Authors: Žemgulienė Jolanta
Published: January 2019

Abstract. In this paper, sources of economic growth are analyzed by an empirical investigation based on annual Lithuanian data of sectoral national accounts for the period from 1996 to 2010. The extent to which productivity variations in private Lithuanian economy can be explained by the production factors of physical as well as human capital, and inter-industry productivity spillovers and scale economies, is estimated by a regression analysis, based on the production function approach. The results have revealed that the endogenous growth model, which includes physical and human capital input variables and also variables of inter-sectoral productivity spillovers and scale economies, associated with the sectoral level of human capital, explains a considerable part of productivity growth. The factor of scale economies, related to sectoral capital investment, was not supported by the empirical investigation.Key words: economic growth, inter-industry spillovers, scale economies associated with human capital
FORMATION OF INVESTMENT STRATEGY IN FINANCIAL INDUSTRIAL GROUPS USING SYSTEM ANALYSIS
Authors: Slushaienko Nataliia
Published: January 2019

Abstract. In the article, the author investigates the definition of the investment strategy that will bring the maximum effect, which is the main objective of target coordination. The proposed model takes into accountthe factors of investment projects that are particularly important for financial and industrial groups, for evaluating investment projects and the impact of individual elements on other units.Key words: investment projects, economic efficiency, economic and mathematical models, comparison criteria, portfolio investments
THE IMPACT OF MACROECONOMIC INDICATORS UPON SME’S PROFITABILITY
Authors: Bekeris Rokas
Published: January 2019

Profitability is one of the most volatile company’s financial indicators: it is affected not only by internal but also by external, macro factors. Therefore, this research was aimed at evaluating the macroeconomic impact on SMEs’ profitability. The paper presents the model with the macroeconomic factors affecting the profitability of a SME, which includes the macroeconomic indicators such as population and firms’ number in a country, exports and imports, FDI, GDP, unemployment, inflation, taxes paid, average salary, and several others. The paper also deals with the dynamics of corporate profitability in Lithuania and shows a correlation between macro factors and corporate profitability. Most of the selected macroeconomic indicators such as inflation, average wages, the number of enterprises, the monetary base were found not to be statistically significant and had no strong correlation with corporate profitability. The VILIBOR interbank interest rate changes and the unemployment have the gretest impact on profitability.
THE ETHICS OF BANKING: ANALYSIS AND ESTIMATES
Authors: Jasevičienė Filomena
Published: January 2019

With the banking business developing, the system of bank values is becoming increasingly relevant. Adherence to the norms of the bank’s ethics helps developing and improving ties among the bank’s employees as well as relations with the clients. Appropriate behaviour and social culture on the part of the staff shape the image of the bank and stimulate loyalty in the clients. The sophisticated and reliable operation of banks can be judged both in terms of its legal and economic aspects, and ethics. The article addresses the ethics requirements for banks’ staff, deals with the analysis and assessment of the application of ethical norms in the process of rendering financial services, and reveals the principal provisions laid down in banks’ codes of ethics and estimations.
IDENTIFICATION AND ESTIMATION OF THE INFLUENCE OF GENERAL MACROECONOMIC FACTORS ON CHANGES IN COUNTRY’S TAX CULTURE
Authors: Maksvytienė Inga , Šinkūnienė Kristina
Published: January 2019

The article presents the concept of tax culture by accentuating the possibilities of tax culture expression. The general factors that influence changes in tax culture are distinguished and defined. The general macroeconomic factors that influence changes in tax culture are presented. Based on the aforementioned factors, changes in the tax culture of Member States and the macroeconomic factors are analyzed in their entirety, and the influence of such factors on the changes of tax culture is calculated and assessed.
BARRIERS TO EXPORT FROM INDIA TO THE EUROPEAN UNION
Authors: Chaudhari Mangal Bhausaheb , Giedraitis Vincent , Kapse Pankaj
Published: January 2019

India is an important trade partner for the European Union. The European Union’s export to India is higher relative to India’s export to the European Union. An analysis of barriers is needed for international trade as it may assist in finding out why exporters are not able to exploit their full potential. The main goal of this research is to analyze the barriers faced by Indian exporters during export to the European Union. This research was done by an empirical investigation of barriers’ perception by Indian exporters. A literature review was also done to enlist the barriers faced by exporters. Analysis of data was done with the help of SPSS (Version 20) software.While previous researches talk about the most common barriers, this research talks about all the possible ones, i.e. common as well as naturally existing, and finds the major ones. This research has shown that exporters have a significant feeling for governmental regulations, customs procedure and licensing, technical standards and health regulations, sanitary and phytosanitary measures, and certification as the major barriers to export. There are some naturally existing barriers to the trade among which labeling and packaging, and market access problems are the major barriers to export.Decreasing the strength of these barriers will lead to an increase in export as exporters are ready to export more from India to the European Union if these barriers will be removed or the strength of these barriers will be less. Also, due to the low barriers, non-exporters will start export, and the increase in export will lead to the economic growth of India.
EVALUATION OF REGIONAL Β CONVERGENCE IN EU COUNTRIES AT NUTS3 LEVEL
Authors: Pukelienė Violeta , Butkus Mindaugas
Published: January 2019

The paper deals with regional economic differences: theoretical aspects of their causes, evaluation methods, and presents in empirical analysis of the EU countries. The β convergence methods were applied for empirical research. The results suggest that in most of the EU countries, regions were diverging during 1995–2008. The recent territorial differences in the EU are determined not by the factors of countries or their groups, but by economic differences inside the countries.>
THE LABOUR POTENTIAL AND ECONOMIC FREEDOM: THEORETICAL BASE FOR DIALECTICAL UNITY
Authors: Moroz Volodymyr , Moroz Mykhaylo
Published: January 2019

The content of the economic freedom as a category of modern economic knowledge and the dialectics of its correlation with the category of the personality labour potential are revealed in the article. The appropriate correlations are highlighted in the context of the authors’ model called “the conditional propeller”, the plot of which is revealed through the balance of human’s, society’s and state’s competence. Also, the article contains theoretical generalizations as regards the correlation of human “I” with the system of labour potential of a personality and gives practical recommendations concerning its consideration in the daily activities of a national government.
PROACTIVE DECISION-MAKING MECHANISM BASED ON MINING TECHNOLOGY
Authors: Chornous Galyna O.
Published: January 2019

The main idea of this study is to connect the possibilities of mining technology with the methodology of proactive management by social and economic systems. The permanent process of complication of all spheres of social life requires improving the management forms and methods. Modern methods of decision support, appropriate information technology make it possible to improve the classical approaches, one of which is proactive management. Taking into account the limits of classical methods, proactive management should be chosen as an appropriate mining technology that can automatically extract the new non-trivial knowledge from data in the form of patterns, relationships, laws, etc. This synthetic technology combines the latest achievements of artificial intelligence, mathematics, statistics, heuristic approaches, including Data Mining, OLAP and others. Using the mining technology enables: to implement data monitoring, preparation and analysis (collection and presentation of data, detection of situations), to identify problem situations (to recognize patterns of problem situations; to correlate the pattern of the current situation with patterns of problem situations; to determine the structure of the problem situation, to identify factors and relationships), to prioritize the problems, trends and challenges, their expectations, effects (to predict the situation development with managerial influence and without it), to pose the tasks (to analyze deviations in terms of activity; to define goals, criteria, operating conditions) and so on. The following models (using the methods of “nearest neighbour”, rules induction, causal networks, statistical methods, associations, neural networks, decision trees, etc.) can be used: cluster allocation situations, classification of patterns, models of situation identification, pattern recognition models, prediction models, optimization models, causal relationships models.
NET PROFITABILITY ANALYSIS OF TRAVEL ORGANIZERS AND TRAVEL AGENCIES
Authors: Subačienė Rasa , Senkus Kastytis
Published: January 2019

Abstract. Evaluation of financial position and operating effectiveness of a company is a relevant problem Therefore, separate aspects of a company’s activity may be measured in different approaches. The purpose of the article is to present the system of a pyramidal analysis of the net profitability ratio and to evaluate the net profitability of travel organizers and travel agencies.The research object was financial statements of travel organizers and travel agencies for the period 2009–2011. The methods used for this purpose were analysis of academic materials, financial statements of travel organizers and travel agencies, filing of information, comparison, and summarizing.
RISK MANAGEMENT IN BANKS: NEW APPROACHES TO RISK ASSESSMENT AND INFORMATION SUPPORT
Authors: Chornous Galyna , Ursulenko Ganna
Published: January 2019

Abstract. This study is devoted to the problems of improving the banking risk management, taking into account the new regulatory and technological requirements based on the use of modern technology and combining the latest achievements in artificial intelligence, numerical mathematics, statistics and information technology.The paper analyzes the characteristics of banking risks, the main methods of assessment used in practice. The authors propose new prospective approaches to assessment, based on the most modern methods of data analysis,identify prospective directions for banking information system improvement and suggest the possibility of their implementation.The example of Ukrainian banks shows the main problems of using new approaches to risk assessment and its information support. The article proposes the ways to overcome them.Key words: banking risk management, artificial intelligence, banking risks estimation, data analysis
MAIN RISKS IN THE LITHUANIAN BANKING SECTOR: ANALYSIS AND EVALUATION
Authors: Jasevičienė Filomena , Valiulienė Vaida
Published: January 2019

Abstract. There are a number of different financial market institutions such as banks, credit unions, leasing and insurance companies, as well as capital market players in Lithuania. The bank sector makes the largest part of the financial market (more than 80%). Thus, the bank sector has a considerable influence on the country’s economy. Banks are not specialized in Lithuania, i.e. they are universal banks which seek to provide quite a wide range of financial services. The successful performance of a bank mostly depends on how it succeeds to manage the risks. The problems of risk management are becoming an object of exceptional attention while enhancing the variety of analysed risks as well as developing the investigation instruments both in the whole world and in Lithuania. Loans make the largest part of bank assets. So, the loan risk management is one of the most important guarantees of safe banking. To manage effectively the bank credit risk, it should be adequately evaluated.Key words: banks, credit risk, credit risk management, credit quality, non-performing loansp>
ECONOMIC INEQUALITY: A SURVEY OF RECENT LITERATURE
Authors: Kulikauskas Darius
Published: January 2019

Abstract. The purpose of this paper is to review the recent literature on economic inequality. In particular, the developments in the fields of economic growth, financial crises, happiness and skill (capital) biased technological progress are surveyed. By using the methods of systematic and narrative literature review and conducting meta-synthesis of the recent studies, it is shows that conventional wisdom is contested in all of the mentioned fields. The rising economic inequality is linked to financial crises as well as the slower and shorter economic growth. The Easterlin paradox is losing support. Skill-biased technological progress is possibly evolved into a capital-biased one.Key words: economic inequality, financial crises, skill-biased productivity, capital-biased productivity, the Easterlin paradox
INTELLECTUAL CAPITAL VALUATION: METHODS AND THEIR CLASSIFICATION
Authors: Ramanauskaitė Agnė , Rudžionienė Kristina
Published: January 2019

Abstract. Currently, a more significant added value is created by intellectual rather than physical capital; yet, according to the current standards of accounting, only a minor segment of intellectual capital is presented in financial accounts of enterprises as it usually does not satisfy one of the criteria of property recognition in financial accounting, namely reliable valuation. As a result, there is an increasing demand for novel methods of valuation, enabling enterprises to establish reliably the value of intellectual capital or its specific segments of a given enterprise. A number of scholars have dealt with the methods of intellectual capital valuation. However, their works analyze and classify different methods of intellectual capital valuation, and different criteria of classification are employed; hence, there is no universally accepted opinion on the issue. That is why the aim of this research was to generalize a scheme of methods of intellectual capital valuation. The main methods applied in the present study are the synthesis and generalization of academic writings, including content analysis. The results of the research and its conclusions are based on the analysis of academic investigations conducted by various authors and the resulting publications. Results. The article generalizes the methods of intellectual capital valuation, suggested by a number of scholars, provides comparisons, reveals the multiplicity of the methods, and highlights the unlimited research of the academic field. Besides, the main classifications of methods of intellectual capital valuation are provided, and the applied criteria are defined. Conclusions. It was established that more than sixty different methods for the valuation of the intellectual capital of an enterprise are available. The results of the research show that these methods are classified according to the four following features. Correspondingly, a classification scheme of intellectual capital valuation methods has been developed. It has been established that most methods of intellectual capital valuation are based on scorecard, they assess specific components; of intellectual capital and in the process of valuation do not employ monetary units of measurement. Tis reveals a lack of the studies that focus on the financial aspect of intellectual capital valuation methods.Key words: intellectual capital, valuation, valuation methods, classification of methods
LABOUR MARKET TRENDS AND THEIR IMPACT ON HUMAN RESOURCE MANAGEMENT IN LITHUANIAN COMPANIES
Authors: Česynienė Rima , Diskienė Danutė , Stankevičienė Asta
Published: January 2019

Abstract. During the last decades, organizations operate in changing labour market conditions. Labour markets of many countries, including Lithuania, are in a continuous state of changes which demand a new approach to the management of human resources. The purpose of this study was to identify the key factors that transform labour markets and to outline how this transformation is impacting human resource management practices, particularly human resource specialists’ functions and competences. To achieve this purpose, a detailed review of literature was performed and a research based on the questionnaire method was conducted in 2011–2012 in 92 Lithuanian companies. The research included 160 respondents – specialists of human resourcesdepartments. The research has demonstrated that, in the changing labour market conditions, the functions of human resource specialists have become more diverse and are increasingly directed towards fulfilling the needs of the business.Key words: labour market, human resource management, functions, competences
SOCIAL POLICY CHANGES IN THE THREE BALTIC STATES OVER THE LAST DECADE (2000–2012)
Authors: Aidukaitė Jolanta
Published: January 2019

Abstract. This paper deals with changes in social policy (social security and health care) in the three Baltic states over the last decade. It seeks to elucidate the emerging differences among the three Baltic states in their social policy arrangements. The study employs inductive methods for the analysis of social security institutions, pursuing a comparative institutional analysis by means of macro level descriptive statistics. The paper demonstrates that in the period 2008–2012, the differences among the three countries in social policy arrangements have exacerbated. Estonia has handled the global financial crisis much better and managed to keep more solidarity and universalism in so cial policy as well as higher benefit levels as compared with Latvia and Lithuania.Key words: social security, health care, Baltic states, welfare state, differences
INTERFIRM RELATIONSHIPS: EVOLUTIONARY PERSPECTIVE
Authors: Stańczyk-Hugiet Ewa
Published: January 2019

Abstract. The aim of the study was to demonstrate that the inter-organizational relationships form the framework of modern business. The common analysis of interfirm relationships is based exclusively on the relational view. The article is focused on the evolutionary and relational approach to management. In this respect, relationships are exemplified in the form of the adaptation mechanism used in the environment while making a selection. The author argues that organizational relationships are an expression of the variation processes that organizations use as the mechanisms of adaptation. Such a perspective is an original approach to the explanation of evolution and of the mechanisms of contemporary competitive advantage.The article is based on the reasoning based on a critical analysis of the existing research in this area, supported by results of the author’s own qualitative research.The main findings of the study outline the possibilities to survive in the current business settings and are related to the relationships; in a wider sense, interfirm relationships are an important mechanism driving evolution.Key words: evolution, interfirm relationships, variation, adaptation
ECONOMIC AND INSTITUTIONAL FUNDAMENTALS OF THE DIVERGENCE OF DEVELOPMENT PATHS IN CENTRAL AND EASTERN EUROPE
Authors: Bilenko Yuriy
Published: January 2019

Abstract. An analysis of the divergence of economic development paths of Eastern European countries (Poland, Hungary, Latvia, Lithuania, Czech Republic, Slovakia, Slovenia) that joined the EU in 2004 and of the European post-Soviet states (Ukraine, Russia, Belarus, Moldova) for the past twenty years with an emphasis on trade and financial openness is carried out in the article. A detailed description of institutional mechanisms and institutional changes in the economies of these two groups of countries is presented. In my opinion, in order to ensure a sustainable economic development and sustainable economic growth, the macroeconomic equilibrium has to be supplemented by the institutional equilibrium. The equilibrium criteria have to match the actual functions of the institutions, assigned to them by society, and contribute to the development of the whole society along with formation of the middle class.Key words: economic development, economic growth, institutional change, transition economy, Central and Eastern Europe