nep-tra New Economics Papers
on Transition Economics
Issue of 2019‒04‒29
four papers chosen by
J. David Brown
United States Census Bureau

  1. Shadow Economy Index for Moldova and Romania By Talis Putnins; Arnis Sauka; Adriana Ana Maria Davidesc
  2. Welfare effects of land market liberalization scenarios in Ukraine: Evidence-based economic perspective By Kvartiuk, Vasyl; Herzfeld, Thomas
  3. Who and how do participate strategic planning? By Täks, Viire; Vadi, Maaja
  4. The Past and the Future of Employee Voice: Shenzhen's High Technology Industry By Denise Tsang; Zhang Yan

  1. By: Talis Putnins (Finance Discipline Group, University of Technology Sydney); Arnis Sauka (Centre for Sustainable BusinessStockholm School of Economics in Riga); Adriana Ana Maria Davidesc (Department of Labour Market PoliciesNational Scientific Research Institute for Labour and Social Protection, Bucharest)
    Abstract: This report presents estimates of the size of the shadow economy in Moldova and Romania during the years 2015–2016. The estimates are based on surveys of entrepreneurs in both countries, following the method of Putninš and Sauka (Journal of Comparative Economics 43:471–490, 2015). The components of the shadow economy captured by this approach include misreported business income, unregistered or hidden employees, and ‘envelope’ wages. Our findings suggest that both Moldova and Romania exhibit high levels of bribery, which is influenced by the number of unregistered companies. The results of this chapter highlight the importance of focusing on different forms of entrepreneurship particularly in transition economies.
    Date: 2019–01–01
  2. By: Kvartiuk, Vasyl; Herzfeld, Thomas
    Abstract: [Introduction] When Ukraine adopted the 2002 Land Code, it chose to follow a liberal path of agricultural land relations, but failed to create the necessary conditions for the land market to function fully. The moratorium on land sales, implemented directly after the adoption of the Land Code, prohibited 6.92 million owners of land shares (16 % of the population) from fully exercising their property rights. Initially intended as a temporary measure, the moratorium has, to date, been extended eight times. As such, many landowners have passed away without ever being able to fully exercise their property rights. Economic losses caused by the prohibition of land sales are considerable. First, inability to transfer land from less to more efficient producers contributes to a situation where tenancy insecurity substantially reduces incentives to invest in technologies improving land use productivity. As a result, growth of the agricultural sector is substantially lower than it could have been with a free land market. Second, current management of land lease contracts incurs high transaction costs, which could be lowered if land users were able to buy plots. Third, one quarter of Ukrainian agricultural land is still owned by the government. Privatization of 10.5 million ha could generate substantial financial resources for newly reformed local governments. In addition, land sales market has a potential to expand respective tax base and improve the collection of land tax. Resources from privatization and improved tax revenues could substantially help restore the dilapidated rural infrastructure. In sum, due to gains in agricultural production and land privatization, Ukrainian experts estimate that liberalization could lead to a 3-9 % increase in the annual growth rate of the GDP.
    Keywords: Land Economics/Use
    Date: 2019
  3. By: Täks, Viire; Vadi, Maaja
    Abstract: The paper offers new insights into how concurrent combinations of different strategic planning participants is related to the usage of various management tools in the company. It shares the light to two areas with little empirical studies - concurrent involvement of strategic planning participants and the relation between strategic planning participants and use of management tools. Through this, it helps to explain strategic planning participants influence strategy implementation processes. The study is based on a dataset of 204 Estonian companies. To analyse relationships Bayesian networks is chosen and the dynamic networks illustrate the findings. Using this analysing method allows evaluating probabilistic relations between various combinations of strategic planning participants and use of management tools. The study shows that leading actors of strategic planning are owners, top and middle managers. Middle managers have a central role in involving lower positions in the company to strategic planning. When owners are involved in strategic planning, companies tend to use externally oriented management tools like customer relationship management. Involvement of top managers is related to internally oriented management tools, most probably with business process re-engineering. In case of concurrent involvement of top managers and owners, owner-related management tools are preferable in use. Middle managers are most often involved in strategic planning when benchmarking and first-level managers when business process re-engineering is in use. Bayesian network models were also composed of the involvement of specialists and blue-collar workers, while these networks did not show any relationships between strategic planning participants and management tools.
    Keywords: strategic planning,strategic planning participants,management tools,Strategy implementation,Estonia,Bayesian networks
    Date: 2019
  4. By: Denise Tsang (Henley Business School, University of Reading); Zhang Yan (School of Economics, Shandong University P.R. China)
    Abstract: Can a nation's technology future be linked to its past? This article discusses employee voice, as defined in terms of discretionary and constructive behaviour that challenge the status quo, within the innovative, fast growing high technology industry in China. It provides insight into factors shaping employee voice in this under-researched knowledge-intensive sector of China that has emerged rapidly since the economic reform. It suggests the notion of employee voice among the highly skilled knowledge workforce can only be understood in terms of technological convergence and cultural divergence.
    Keywords: employee voice; high technology; cultural divergency; Shenzhen
    JEL: J59 L69 M12 N35 N95 O43
    Date: 2018–07

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