Ekonomika

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.

Abstract. The paper analyses the state of implementation of flexicurity policy components in the NMS and, by using panel regression analysis, estimates the impact of employment protection legislation, expenditures for active employment policies, participation in lifelong learning and net replacement rate on labour productivity and on long-term unemployment. The empirical analysis has shown that the labour markets in the NMS, on the overall, are not more rigid as compared to the EU-15; however, problematic remains low expenditure on active labour market policies, education and social protection, and the low participation in lifelong learning. NMS must, according to the results of the panel linear regression, improve their performance in the mentioned areas in order to improve their labour productivity and decrease long-term unemployment.

Key words: flexicurity, labour market, labour productivity, long-term unemployment, European Union

Abstract. With the European Union integration growing deeper and Euro area countries having the common currency, excluding possibility of a national monetary policy, academic society has raised a debate on economic stabilization opportunities in individual Euro area countries in case the common monetary policy would prove to be adverse. According to the optimum currency area theory, one of the necessary conditions for the successful functioning of the monetary union is the homogeneity of its countries. The possible economic shocks could have a different impact on the economy of individual Euro area countries in the presence of significant differences in their economy structure. Applying the Hodrick–Prescott method, this study identifies and analyses economic growth cycles in the main economic sectors of the Euro area countries. The results suggest that not all economic growth cycles of the Euro area countries sufficiently correlate with the Euro area average, and one of the predetermining factors is the differences in the economic structure.

Key words: asymmetry of economic growth cycle, Euro area, value added structure

Abstract. The main goal of this sludy was to identify the main drivers of the shadow economy and to evaluate its impact on the collection of the state budget income. The paper tries to explain what factors affect the origination and development of the shadow economy. The main analysed factors include unemployment rate and the burden of taxation. Authors have made a three-way analysis including a correlation analysis, a review of the statistical, data and a sociological survey.
The analysis has shown that there is no single factor to be considered as most significant for the shadow economy; is conditioned by a complex of related economic, legal and administrative, social, and psychological factors. The list of the most relevant factors is provided. In summary, the paper also provides the recommended approaches to fight the shadow economy.

Key words: shadow economy, state budget income, unemployment, burden of taxation

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

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

Abstract. This study aims to investigate the effects of tax policy on the macroeconomic variables of Lithuania. Special attention is devoted to conclusions concerning the impact of corporate taxation. The methodological framework is structural vector autoregression models identified using the Cholesky and Blanchard–Perotti approaches. Investigations of the impact of fiscal policy have been scarce in the empirical literature of Lithuania. The authors of this article use the methodology of assessing the impacts of fiscal policy that has not been used in Lithuania so for.

JEL classification: E62, H25, F21.

Key words: SVAR model, impulse response functions, fiscal policy, capital tax, investment

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 account
the 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

Abstract. The success of managing the activities of organizations is tightly related to solving the problem of effective work motivation. The solution is possible only by implementing an efficient employees’ motivation mechanism which is a considerable challenge to business organizations all over the world. The effectiveness of motivational tools created and used by managers is strongly correlated with recognizing the main needs of employees. Therefore, the authors of this paper tried to look at this important aspect of motivation through the prism of managerial attitudes. The empirical study was conducted in Lithuanian and Polish companies in which managers of different management levels took place. The purpose of the study has been to find out whether managers realize which needs are most important for their subordinates and whether they pay attention to these needs while pursuing an effective employee. The concept of this paper is based on the integration of management theory and actual practices.The methods of the study comprise system analysis, meta-analysis, survey, international comparisons. The findings of the study could be useful both for local companies’ managers and for foreign companies deciding to enter the Eastern Europe an market as well for researchers interested in CEE countries’ management peculiarities.

Key words: employees’ needs, motivation, motivational profile, managerial attitudes