Contents of issue 11-12/2005
Czesław Bywalec - Methods for Measuring the Social Effectiveness of Economic Growth, summary
Paweł Baranowski - The Influence of Inflation on Real Capital Investment in the European Union, summary
Grzegorz Kula - Flat Tax Rate in Practice, summary
, articleEUROPEAN INTEGRATION
Maria Johann - Population Living Standards in Poland and the EU-15, summary
, articleWARSAW SCHOOL OF ECONOMICS 1906-2006
Irena E. Kotowska, Janusz Witkowski - Professor Jerzy Zdzisław Holzer (1930-2001), summary
, articleWORLD ECONOMY
Olivier Blanchard - The Economic Future of Europe, articleCONFRENCES - POLEMICS - REVIEWS
Book Review: Jerzy Matkowski (ed.), Ład gospodarczy jako efekt działalności państwa w społecznej gospodarce rynkowej
(Corporate Governance as an Effect of State Activity in a Social Market Economy), Polskie Towarzystwo Ekonomiczne Oddział Warszawa, Warsaw 2005, 143 pp. - reviewed by Andrzej Szplit
Book Review: Marek Panfil, Fundusze Private Equity
(Private Equity Funds), Difin, Warsaw 2005, 281 pp. - reviewed by Sławomir Listkiewicz
Regional Development: The Implications of Integration - Tadeusz Smuga
Index of Publications in 2005
Czesław Bywalec - Methods for Measuring the Social Effectiveness of Economic Growth
Measurements of the social effectiveness of management take on growing importance at a time of economic growth and social development. The existing range of technical and economic methods for measuring management effects is insufficient and does not permit a comprehensive assessment of the social rationality of contemporary economic processes. Consequently, it is necessary to intensify work on analyzing the social effectiveness of economic processes, particularly economic growth.
Changes in population living standards best reflect the social effects of economic growth. The effectiveness of economic growth is a relationship between changes in the standard of living and the rate of economic growth as expressed by GDP growth indicators.
The procedure for examining population living standards raises a lot of controversy. The standard of living is a category that comprises many different elements and cannot be measured directly. It requires indirect measurements based on a system of social indicators. To measure the standard of living, it is necessary to choose an appropriate set of indicators, and, through their statistical aggregation, build a composite (aggregate) index that will then become the basis for comparisons with economic growth indicators. On the basis of these comparisons, it is possible to formulate final opinions about the social effectiveness of economic growth. These procedures are presented in sections 3 and 4 of the article.Article
Paweł Baranowski - The Influence of Inflation on Real Capital Investment in the European Union
Inflation can produce a number of negative effects. These primarily include slower economic growth and decreased investment. The article examines the influence of inflation on real capital investments.
The author ventures a hypothesis about a negative effect of inflation on investment. The main theoretical arguments in favor of such a hypothesis are the uncertainty provoked by inflation and the increased costs of business activity.
The first part of the article reviews theories that describe the influence of inflation on investment. Part two presents the theoretical assumptions of the model. The last part is a presentation and discussion of the results of the empirical studies conducted.
The constructed model scrutinizes the rate of investment in real capital in 15 European Union countries in 1972-2001. The Error Correction Model (ECM), fit for statistical purposes, makes it possible to demonstrate both long- and short-term effects. The conclusion is that the influence of inflation on investment is negative and long-term in nature. In the short term, inflation does not affect investment.
As expected, the rate of GDP growth has a positive influence on the rate of investment. Moreover, due to reasons not considered in the model—such as the state of infrastructure, the quality and stability of law and the availability of other factors of production—the rate of investment varied considerably from one country to another.
Overall, inflation has a strong influence on investment, providing a serious argument in favor of keeping price growth at a low level.Article
Grzegorz Kula - Flat Tax Rate in Practice
A flat tax rate is a familiar election-campaign slogan these days. Politicians calling for the introduction of a flat tax system quote examples of countries that have already implemented such systems. Unfortunately, these examples do not always show the whole picture. In the article, the author describes how the flat tax system is constructed in individual countries. It turns out that no national tax system actually meets the definition of a true flat rate. Everywhere there are tax breaks and deductions. In most countries, there is an actual progression of personal income tax (PIT) and the flat rate is only theoretical. Corporate income tax (CIT), though usually simpler than PIT, does not meet the requirements of linearity, either. In the theoretical part of the article, the author tries to explain that the dispute over the flat tax rate is ideological and-due to the absence of viable arguments-there are slim chances for a compromise in this area.Article
Maria Johann - Population Living Standards in Poland and the EU-15
The article presents the results of research into the standards of living in Poland and old European Union member states in 1990-2000. The research was conducted on the basis of select taxonomic methods. The analysis of the empirical material was designed to determine whether or not the standard-of-living gap between Poland and the EU-15 narrowed over the decade. An additional aim of the research was to confirm the positive effects of integration following an improvement of population living standards and shrinking differences among individual member states. The author characterizes taxonomic methods with a special focus on those used in the research. He also discusses the results of the analyses conducted. The comparison of Poland and the EU-15 was made on the basis of criteria of similarity and discrepancy, while the Ward method was used to identify groups of countries characterized by a similar standard of living in 1990 and 2000. The analysis of the empirical material reveals that in the period covered by the research-despite the consistent growth of population living standards-Poland did not bridge the gap separating it from the EU-15. In fact, the gap widened. However, population living standards continue to improve and differences among individual EU countries are shrinking as integration progresses.Article
Irena E. Kotowska, Janusz Witkowski - Professor Jerzy Zdzisław Holzer (1930-2001)
Prof. Jerzy Zdzisław Holzer, through his studies and academic career, was linked with the Warsaw School of Economics (SGH) for more than 50 years. He worked at SGH from September 1950, when he became a junior assistant at the Faculty of Statistics, until his sudden death on Sept. 29, 2001.
The author presents the professor’s biography and scientific achievements, both at home and abroad, and his contribution to the academic community, including his work as director of the Institute of Statistics and Demography in 1978-1999. Prof. Holzer set up a team of demographers and prepared them for work on the international arena. Managing demographic research in Poland and establishing ties with international researchers, Prof. Holzer contributed to the development of Polish demography and its international acclaim.
The article sheds new light on the life of this internationally-renowned scholar, showing him as a wonderful man loved and admired by his students, colleagues and friends. These warm feelings climaxed after the professor’s death. In a series of recollections published in a special issue of Studia Demograficzne (No. 2/140 of 2001), Holzer is portrayed as a “humanist sensu largo,” as Prof. J. Tazbir put it. He was a man of extensive scientific interests, profound knowledge and wisdom, concerned about the common good, well-wishing and showing respect for everyone around him. These accounts yield the image of a steadfast man of indomitable spirit, faithful to his value system and principles. His reliability and responsible treatment of his duties met with general appreciation and admiration. He always set high requirements not only for others but first of all for himself. As a result, whatever he turned his hand to was remarkably proficient. Statements by various people from both the Polish and European demographic communities-representing different disciplines of the professor’s endeavor-add up to a surprisingly uniform image of Prof. Holzer as a truly exceptional figure.Article