nep-cis New Economics Papers
on Confederation of Independent States
Issue of 2019‒07‒22
eighteen papers chosen by

  1. Destructive motivation of personnel: a case study of Russian commercial companies By Alexander Borisov; Diana Narozhnaia; Elena Tarando; Alexey Vorontsov; Nikolay Pruel; Olga Nikiforova
  3. Enhancing Connectivity and Freight in Central Asia By ITF
  4. Study of the prospects for the development of competition in the retail electricity markets By Suyunchev, Marat (Суюнчев, Марат); Mozgovaya, Oksana (Мозговая, Оксана); Kuznetsov, Vasiliy (Кузнецов, Василий)
  5. Towards diversification of the economy of Kazakhstan via information support for the tourism industry By Anna Shevyakova; Eleonorа Munsh; Malika Arystan
  6. Socio-economic sustainable development and the precariat: a case study of three Russian cities By Vyacheslav Volchik; Liudmila Klimenko; Oxana Posukhova
  7. Retraditionalization as a pathway to escape lowest-low fertility? Characteristics and prospects of the Eastern European “baby boom” By Sebastian Klüsener; Aiva Jasilioniene; Victoria Yuodeshko
  8. The Shift in Global Crude Oil Market Structure: A model-based analysis of the period 2013–2017 By Berk, Istemi; Çam , Eren
  9. Financial, organisational and informative involvement of the society in social innovation processes in Latvia By Karine Oganisjana; Svetlana Surikova; Konstantins Kozlovskis; Anna Svirina
  10. Kyrgyz Republic; 2019 Article IV Consultation-Press Release; and Staff Report By International Monetary Fund
  11. Towards food security and sustainable development through enhancing efficiency of grain industry By Kanat Tireuov; Salima Mizanbekova; Bakhyt Kalykova; Gulmira Nurmanbekova
  12. Evaluation of accounting regulation evolution in selected countries By Rasa Subačienė; Lehte Alver; Inta Brūna; Mirjana Hladika; Daša Mokošová; Jan Molín
  13. Impact of production and transaction costs on companies’ performance according assessments of experts By Elena Petrenko; Sergey Pizikov; Nurlan Mukaliev; Anuar Mukazhan
  14. L’internationalisation des marchés en productions animales By Vincent Chatellier
  15. Identifying associated characteristics for achieving sustainable development goals By Lanshina, Tatiana (Ланьшина, Татьяна)
  16. Transition from the industrial clusters to the smart specialization: a case study By Yelena Petrenko; Elena Vechkinzova; Viktor Antonov
  18. Road Safety in European Cities: Performance Indicators and Governance Solutions By ITF

  1. By: Alexander Borisov (SPBU - Saint Petersburg University); Diana Narozhnaia (MSU - Lomonosov Moscow State University); Elena Tarando (SPBU - Saint Petersburg University); Alexey Vorontsov (Herzen State Pedagogical University of Russia); Nikolay Pruel (SPBU - Saint Petersburg University); Olga Nikiforova (SPBU - Saint Petersburg University)
    Abstract: The article analyzes the results of an empirical study of the causes of destructive motivation of personnel in Russian commercial organizations. The study was conducted by questioning two hundred employees of commercial organizations in Moscow. The purpose of the research is to reveal the opinion of employees on the causes of destructive motivation of personnel and measures for their elimination. The empirical study revealed the influence of organizational factors on the existence of destructive personnel motivation in organizations, such as: labor organization; remuneration system, benefits and career management; control over the activities of employees; group communications and organizational culture. The study revealed the impact of personal characteristics of employees on destructive motivation. In the course of the survey, the degree of influence of various groups of reasons on the demotivation of employees in the studied commercial organizations was revealed, as well as on the micro-political motivation of employees. In the course of the questionnaire, assessments of the main forms of destructive behavior were obtained, which allowed for developing more detailed recommendations for limiting this negative phenomenon. The practical significance of the research is the results of an analysis of various factors of the internal environment of the organization and the personal characteristics of employees that are significant for the formation of destructive motivation of employees of Russian companies in a transitional economy.
    Keywords: destructive motivation model,motivation,demotivation,destructive motivation,deviation,anomie,micro-political motivation,motivational policy
    Date: 2018–09–30
  2. By: Aleksandra Kordalska (Gdansk University of Technology, Gdansk, Poland); Magdalena Olczyk (Gdansk University of Technology, Gdansk, Poland)
    Abstract: The goal of the paper is to decompose gross exports/imports to/from Germany for seven selected economies in Central and Eastern Europe (CEE): the Czech Republic, Estonia, Hungary, Lithuania, Latvia, Poland, and Slovakia for 2000 and 2014, to identify the role of German in absorbing, reflecting, and redirecting CEE trade. We use a gross trade decomposition proposed by Borin and Mancini (2017), which is the extended version of the methodology of Koopman, Wang, and Wei (KWW; 2014). Our analysis shows the deep integration of CEE into ‘Factory Germany’ as well as also the overestimated role of Germany as a market of final destination. Germany plays the increasing role in CEE export redirection (and vice versa) to extra-European destinations, especially to the US, China, and Russia. Additionally, we state that the Baltic countries and Poland export domestic value added mostly included in services, while the Visegrád countries do so in manufacturing.
    Keywords: value-added exports, CEE economies, trade linkages, GVC decomposition
    JEL: F1 F14 F1
    Date: 2019–07
  3. By: ITF
    Abstract: This report assesses freight connectivity in Central Asia, focusing on Kazakhstan, Kyrgyzstan, Mongolia, Tajikistan and Uzbekistan. It provides recommendations for improving connectivity and the policy processes required to achieve this. The report also offers advice on how regional co-ordination can improve freight efficiency and connectivity. The analysis, both qualitative and quantitative, covers questions related to hard infrastructure, policies and regulatory frameworks.
    Date: 2019–05–14
  4. By: Suyunchev, Marat (Суюнчев, Марат) (The Russian Presidential Academy of National Economy and Public Administration); Mozgovaya, Oksana (Мозговая, Оксана) (The Russian Presidential Academy of National Economy and Public Administration); Kuznetsov, Vasiliy (Кузнецов, Василий) (The Russian Presidential Academy of National Economy and Public Administration)
    Abstract: This paper abstracts the results of research scientific work «The outlook of Retail electricity markets competition promotion», which studies the current situation of Retail electricity markets competition in Russian Federation and identifies the major setbacks to retail energy sales competition. The analysis of the foreign practice of Retail electricity markets competition promotion highlights the conditions that make possible the competition development. Based on the research findings proposals are made for expansion the number of Retail electricity markets participants, their obligations and responsibilities optimization to promote the competition on Retail electricity markets in Russian Federation.
    Date: 2019–07
  5. By: Anna Shevyakova (LLP "Rational solutions"); Eleonorа Munsh (EPAM Kazakhstan); Malika Arystan (Karaganda Economic University of Kazpotrebsouz)
    Abstract: Raising awareness of tourism players requires improving the comfort of the information environment of their activities. In tourism practices, information support of tourist activities that ensures the comfort of tourist services and the attractiveness of the tourist region strengthens the motivation of consumers to visit this territory. The development of tourism demand, caused by tourists 'awareness, and at the same time demographic changes, accelerate the segmentation and the creation of new types of proposals. Recent advances in telecommunications, networking organizations, creation, and processing of databases and electronic marketing provide new business opportunities in the tourism sector and a significant impact on the model of traditional business. Therefore, the main sphere of changes and innovations in tourism is related to the use of information and communication technologies. Kazakhstan with its unique natural resources and original culture of the nomadic people has a huge untapped potential for tourism development in the international and regional markets. The tourism industry in the Republic of Kazakhstan is recognized as one of the priority branches of the economy at the state level. For example, in the implementation of the provisions of industrial-innovative development of the country's economy, the leading role belongs to the cluster system, in particular to the tourism cluster. Modern trends in the development of this industry are that tourists who have studied the most famous resorts in the world well are striving to those countries where the tourism sector is just beginning to develop. At the present stage of tourism development, Kazakhstan is becoming a more attractive country for extreme holiday lovers and people interested in history and the present of the countries located on the Great Silk Road. From this perspective, the attractiveness of Kazakhstan 139 is growing. The tourist potential of recreational resources and historical and cultural heritage allows the Republic to harmoniously integrate into the international tourism market and achieve intensive development of tourism in the country. This will ensure sustainable employment and income growth, stimulate the development of related industries and increase of investment flows in the national economy.
    Keywords: diversification,Kazakhstan,Kazakhstan's economic sectors,pre-employment,tourism,non-governmental organizations,information technologies and support,computer networks
    Date: 2019–06–30
  6. By: Vyacheslav Volchik (SFEDU - Southern Federal University [Rostov-on-Don]); Liudmila Klimenko (SFEDU - Southern Federal University [Rostov-on-Don]); Oxana Posukhova (SFEDU - Southern Federal University [Rostov-on-Don])
    Abstract: Sustainable social and economic processes of the recent decades are characterized by the emergence of new phenomenon known as precarity and its new accompanying class known as the precariat. The precariat as a social class or social community is primarily associated with a factor of instability and insecurity of workers with flexible employment. This paper studies the precarity on the labor market for the socially-oriented professions in the three Russian metropolitan areas: Moscow, Kazan, and Rostov-on-Don. The paper searches for the causes of precarity of socially-oriented professions based upon the analysis of economic processes in the public sector, and of the reformers' rhetoric and its reflection in the discourses of the main actors about the goals and direction of the reforms. Socially-oriented professions are associated with the creation of benefits, which are very little associated with markets and in most cases belong to public or mixed goods. Our findings suggest that the reforms of Russian education and healthcare spheres are accompanied by large-scale institutional changes which resulted in bureaucratization, orientation toward achieving performance indicators not related to professional values, stagnation of incomes, inequality between regions, and instability of professional trajectories. We conclude that reducing the prestige of socially-oriented professions, the material well-being, along with instability, become the main factors of precarity.
    Keywords: institutional changes,entrepreneurship,education,healthcare,precariat
    Date: 2018–09–30
  7. By: Sebastian Klüsener (Max Planck Institute for Demographic Research, Rostock, Germany); Aiva Jasilioniene (Max Planck Institute for Demographic Research, Rostock, Germany); Victoria Yuodeshko
    Abstract: Over the last two decades, Belarus and Russia have witnessed substantial fertility increases that have catapulted their total fertility rates from lowest-low fertility to levels above 1.7 children per woman. While it is frequently argued that greater gender equality is an important mechanism for overcoming low fertility, these developments seem to have instead been accompanied by a retraditionalization of gender attitudes. This paper uses the 2017 Belarusian Generations and Gender Survey to investigate the characteristics and prospects of the Eastern European “baby boom.” We show that the fertility increases are driven by two main components: the recuperation of births postponed during the preceding post-communist transition crisis, and fertility increases among cohorts born in the 1980s. These cohorts also display very traditional gender attitudes. While the recuperation will not have a long-term impact, it is more uncertain whether or not the cohort fertility increases will be sustained.
    Keywords: Belarus, below-replacement fertility, cohort fertility, cumulative fertility, fertility increase, life tables
    JEL: J1 Z0
    Date: 2019–07
  8. By: Berk, Istemi (Dokuz Eylul University); Çam , Eren (Energiewirtschaftliches Institut an der Universitaet zu Koeln (EWI))
    Abstract: The global crude oil market has gone through two important phases over the recent years. The first one was the price collapse that started in the third quarter of 2014 and continued until mid-2016. The second phase occurred in late 2016, after major producers within and outside OPEC agreed to cut production in order to adjust the ongoing fall in oil prices, which is now known as the OPEC+ agreement. This paper analyzes the effects of these recent developments on the market structure and on the behavior of major producers in the market. To this end, we develop a partial equilibrium model with a spatial structure for the global crude oil market and simulate the market for the period between 2013 and 2017 under oligopolistic, cartel and perfectly competitive market structure setups. The simulation results reveal that, although the oligopolistic market structures fit overall well to the realized market outcomes, they are not successful at explaining the low prices during 2015 and 2016, which instead are closer to estimated competitive levels. Moreover, we further suggest that from 2014 onward, the market power potential of major suppliers has shrunk considerably, supporting the view that the market has become more competitive. We also analyze the Saudi Arabia- and Russia-led OPEC+ agreement, and find that planned production cuts in 2017, particularly of Saudi Arabia (486 thousand barrels/day) and Russia (300 thousand barrels/day), were below the levels of estimated non-competitive market structure setups. This explains why the oil prices did not recover to pre-2014 levels although a temporary adjustment was observed in 2017.
    Keywords: Crude Oil Market Structure; 2014 Oil Price Decline; OPEC+ Agreement; Market Simulation Model; DROPS
    JEL: C63 D43 Q31 Q41
    Date: 2019–07–15
  9. By: Karine Oganisjana (Riga Technical University); Svetlana Surikova (LU - University of Latvia); Konstantins Kozlovskis (Riga Technical University); Anna Svirina (Kazan National Research Technical University)
    Abstract: Social innovation brings to inclusion and wellbeing, improving the quality of life and socioeconomic performance and enhancing the society's collective power and resources. Therefore, it is of utmost importance to promote social innovation processes in any society, providing research for getting the understanding of different aspects of it, including the main actors and the extent to which they are involved in social innovation. The research presented in this paper reveals the main stakeholders of social innovation and analyses the methodology elaborated by the authors for determining the involvement of the society in social innovation processes at financial, organisational and informative levels. Corresponding indices defined and determined for the case of Latvia reveal that the level of overall involvement of the society in social innovation processes here is lower than average.
    Date: 2018–09–30
  10. By: International Monetary Fund
    Abstract: The economy is growing steadily, benefiting from a benign regional environment, particularly in Russia, the source of most remittances and non-gold export receipts. Low inflation, lower fiscal deficits, and a stable banking sector point to the success of stabilization policies implemented by the government and National Bank of the Kyrgyz Republic (NBKR, the central bank) under eight successive Fund-supported programs. However, the economy remains vulnerable to external shocks because of the high level of remittances (29 percent of GDP), the concentration of exports on gold (37 percent of exports of goods), the level and composition of the public debt (56 percent of GDP, 4/5 of which is denominated in foreign currency), and the level of the current account deficit (8.7 percent of GDP). In addition, economic growth has been insufficient to significantly raise living standards and continue to reduce poverty.
    Date: 2019–07–03
  11. By: Kanat Tireuov (Kazakh National Agrarian University); Salima Mizanbekova (Kazakh National Agrarian University); Bakhyt Kalykova (Kazakh National Agrarian University); Gulmira Nurmanbekova (Kazakh National Agrarian University)
    Abstract: The new situation of Kazakhstan's participation in the world grain market, which requires scientific generalization, is connected with the transformation of the country's trade turnover from interregional to interstate. In this connection, it is objectively necessary to scientifically and methodically substantiate the system of inter-branch cooperation between enterprises for the production and sale of grain and grain processing products in order to ensure stable provision of demand for them in the regions of the country with minimum costs and export it to foreign markets. The problem of increasing the efficiency of the use of grain requires a comprehensive reduction in its consumption across all consumption channels: on seeds, when processed into flour and cereals, for forage purposes. The paramount importance of effective inter-industry cooperation between grain sub-sector organizations is determined by the leading role of grain in the economy of the agro-industrial complex, food security, and the formation of state, interstate and interregional economic ties of the country. In the current situation, the stable functioning of the grain market should be carried out on the basis of a combination of market mechanisms with state regulation tools and targeted support of its subjects.
    Keywords: The Republic of Kazakhstan,tools,mechanism,methodology,food security,sustainable development,interindustry interaction,grain products' sub-complex,grain market,state regulation,economic relations,innovations,grain storage,methods
    Date: 2018–09–30
  12. By: Rasa Subačienė (Vilnius University [Vilnius]); Lehte Alver (TTÜ - Tallinn University of Technology); Inta Brūna (LU - University of Latvia); Mirjana Hladika (University of Zagreb); Daša Mokošová (University of Economics in Bratislava); Jan Molín (University of Economics [Prague])
    Abstract: Accounting forms a significant part of information on any enterprise and plays the most important role in different levels of enterprise' management as well as in country's. Accounting information is used by various information users, whose decisions may influence various spheres: from performance of enterprises to proceeding the state policy. Its role increased recently under conditions of modern global and competitive market economy, and will be increasing in the future. Importance of accounting information usage highlights the need of appropriate formation of such information. And accounting regulation plays the main role in the process of formation and presentation of accounting information as it determines requirements for accounting methodology, information performed in the single set of financial statements or consolidated financial statements. The purpose of the research is to evaluate evolution of accounting regulation for the period 1990-2017 and distinguish accounting regulation evolution phases and factors, which influenced development of the phases. Six countries, which are members of the European Union-the Republic of Croatia, the Czech Republic, the Republic of The International Journal ENTREPRENEURSHIP AND SUSTAINABILITY ISSUES 140 Estonia, the Republic of Latvia, the Republic of Lithuania and the Slovak Republic-were chosen for the evaluation of accounting evolution. For the research were used legislation analysis, systematisation, inductive and deductive, comparison and summary of information methods. Research results show, that evolution of accounting regulation in analysed countries may be distinguished in four general phases. The period of evolution started at the beginning of nineties (1990-1992) when the countries transformed from a central planned economy to market economy, this phase was followed by other phases (1993-2001-2005), when laws on accounting and additional legislation were issued. Accounting regulation evolution phase for alignment accounting legislation with Fourth and Seventh EU Directives started from 2002/2006 and the phase of the compliance with requirements of Directive 2013/34/EU of the European Parliament and of the Council of 26 June 2013, which started in all analysed countries in 2016, except Slovakia-in 2014, completes the accounting regulation evolution period till present.
    Keywords: accounting,development of accounting,accounting regulation,the
    Date: 2018–09–30
  13. By: Elena Petrenko (PRUE - Plekhanov Russian University of Economics [Moscow]); Sergey Pizikov (Foundation for Informational Support of Society Development); Nurlan Mukaliev (Vima LLP); Anuar Mukazhan (Tsesnabank JSC)
    Abstract: Kazakhstan now actively supports the development of entrepreneurship and conducts diversification of the economy. However, the recent crisis has changed the world market and business performance in the country has deteriorated significantly. The presented research studies the directions and reasons for the growth of costs. Based on a mass survey of entrepreneurs, the impact of production and transaction costs on the activities of businesses was assessed. Reducing administrative barriers should also reduce costs across the entire front line between government and business. However, in the process of decisions development on priority areas for reducing costs, evaluations of experts unite and lose coherence. Economic assessments turn into political ones, while the degree of consensus (concordance) of opinions is low. This limits the reliability of the final data and the possibility of their application. In this study, the consistency assessment was carried out using the concordance coefficient.
    Keywords: Kazakhstan,concordance,entrepreneurship,business,production costs,transaction costs,survey,experts,consistency assessment
    Date: 2018–09–30
  14. By: Vincent Chatellier
    Abstract: [paper in French] Animal production accounts for 16% of international agri-food trade. The growing imbalance between supply and demand for animal products in Asian countries, where consumption is growing, particularly in China, stimulates trade for the benefit of the major exporting countries: the European Union (EU), the United States, New Zealand, Brazil and Australia. While this development offers trade opportunities for countries with a structural surplus, purchases fluctuate from year to year and price competition is very strong, despite the qualitative requirements of some countries. The EU, which has a positive trade balance in dairy products and pork, but a negative one (in monetary terms) in beef and poultry meat, is the world's largest exporter of animal products (with 22% of the extra-EU trade in 2016). This article analyses the evolution of trade in animal products using customs statistics data (BACI and COMEXT) from 2000 to 2016. It presents the evolution of international trade for different types of goods (dairy products, beef, pork, poultry meat) and highlights the trade trajectories (patterns) of the main net importing countries (China, Japan and Russia) and net exporting countries (India, Australia, New Zealand, Brazil, the United States and the EU).
    Keywords: animal products, international trade patterns, trade balance
    JEL: Q13 Q17 Q18
    Date: 2019
  15. By: Lanshina, Tatiana (Ланьшина, Татьяна) (The Russian Presidential Academy of National Economy and Public Administration)
    Abstract: The paper analyzes key approaches to the prioritization, localization and implementation of the Sustainable Development Goals (SDGs) at the national level. The analysis of sustainable development strategies and policies in this area in a number of developed and developing countries of the world. Studied Russia's position on the implementation of the SDGs
    Date: 2019–07
  16. By: Yelena Petrenko (PRUE - Plekhanov Russian University of Economics [Moscow]); Elena Vechkinzova (ICS RAS - Trapeznikov Institute of Control Sciences - RAS - Russian Academy of Sciences [Moscow]); Viktor Antonov (State University of Management)
    Abstract: Kazakhstan faced the problem of falling industrial production and decrease in efficiency of former managerial methods of territorial development. Transition to the new Smart Specialization approach provides better understanding of the specifics of the region and provides the highest return on investment in innovation. The authors produce rationale for the selection of regions of Kazakhstan to determine their smart specialization. There were determined the regions, in which it is advisable to develop the general purpose technologies, and the territories, where it is more profitable to focus on applied research and transmitting them into practice in relation to existing products and technological processes.
    Keywords: industrial policy,smart specialization,innovations,development of industrial regions,Kazakhstan
    Date: 2019–06–30
  17. By: Aleksandra Kordalska (Gdansk University of Technology, Gdansk, Poland); Magdalena Olczyk (Gdansk University of Technology, Gdansk, Poland)
    Abstract: This study examines labour productivity performance and its determinants in Eastern European and Central Asian (EECA) firms using micro-level data. We find significant differences in labour productivity among members of the European Union in Eastern Europe and other Eastern European and Central Asian countries. We also confirm the important impact of foreign ownership, exporter status, and highly skilled workers on productivity levels. However, we reveal a non-linear relationship between firm age and their labour productivity. Additionally, significant differences in labour productivity determinants between the services and manufacturing are found. The productivity of service firms, unlike manufacturing firms, is much more sensitive to changes in productivity factors.
    Keywords: Eastern Europe and Central Asia, firm-level analysis, labour productivity
    JEL: C21 J24 O52 O53
    Date: 2019–07
  18. By: ITF
    Abstract: This reports benchmarks road safety performance for 72 urban areas, mostly in Europe, and illustrates governance solutions to improve urban road safety with case studies conducted in Lisbon (Portugal) and Riga (Latvia). The report proposes new road safety indicators to assess the level of risk for each mode of transport. It finds that a modal shift away from private motor vehicles could significantly enhance road safety in dense urban areas and deliver public health benefits associated with increased physical activity and improved air quality.
    Date: 2019–04–11

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