List of issues

Contents of issue 2/2014

Adam Koronowski - Dual Currency System as a Solution to the Eurozone Crisis, abstract, article

Piotr Ptak - Medium- and Long-Term Fiscal Sustainability in Europe, abstract, article

Małgorzata Stefania Lewandowska - Open Innovation in Polish Enterprises, abstract, article

Agata Adamska, Piotr Urbanek - The Role of Mutual Funds in Corporate Governance Processes Among Listed Companies in Poland, abstract, article

Dorota Kobus-Ostrowska - The Structure of Unemployment Among Disabled Workers in Poland’s Łódź Province, abstract, article

Lidia Danik, Elżbieta Duliniec - Cultural Differences and International Business Cooperation, abstract, article

Beata Namyślak - The Creative Knowledge Sector in the Economy, abstract, article


Book Review: Jan Toporowski, Dlaczego gospodarka światowa potrzebuje krachu finansowego i inne krytyczne eseje o finansach i ekonomii finansowej (Why the Global Economy Needs a Financial Meltdown and Other Essays on Public Finance and Financial Economics), Książka i Prasa, Warsaw 2012, 250 pp. - reviewed by Marek Lubiński

Adam Koronowski - Dual Currency System as a Solution to the Eurozone Crisis

The paper discusses the role of a dual currency system as a solution to problems experienced by some eurozone countries, especially Greece. The dual currency system as suggested by the author would consist of the euro and a reintroduced national currency, referred to as the “new drachma”.
The concept originates from an analysis of the roots of the present crisis, which include a severe loss of international competitiveness by countries hardest hit by the crisis. The analysis leads to the conclusion that devaluation (as opposed to “internal devaluation”) may be crucial to dealing with the problems at hand.
Devaluation is impossible without a national currency and - as far as the literature claims - without a redenomination of assets and liabilities, the author says. However, reintroducing a national currency combined with redenomination would produce many legal, political and economic problems, Koronowski says. He investigates these problems and concludes that an exit from the Economic and Monetary Union (EMU) would have disastrous consequences for the European Union.
Meanwhile, a model based on reintroducing a national currency without leaving the EMU would make it possible to minimize, if not completely avoid, these problems, the author says. The article offers an outline of such a model.

Keywords: euro area, monetary integration, dual currency system
JEL classification codes: E52, F31, F33
Article: PDF

Piotr Ptak - Medium- and Long-Term Fiscal Sustainability in Europe

The article focuses on the concept of fiscal sustainability in light of the European Commission’s Fiscal Sustainability Report 2012. The author discusses the concept of fiscal sustainability and examines sustainability indicators (S1 and S2) in the context of a sovereign debt crisis and population aging.
The author uses an analytical approach as well as descriptive analysis and comparative methods in his research. He comments on the results of fiscal sustainability studies for Poland and Europe as a whole. The analysis of fiscal sustainability in Poland takes into account a recent increase in the statutory retirement age to 67 years for men and women and shows the detailed impact of that decision on the sustainability of public finances in the medium and long term.
In the final part of the article, the author highlights the advantages and disadvantages of the approach used in the report. He concludes that the concept of fiscal sustainability cannot be used directly in day-to-day economic policy due to the high sensitivity of sustainability indicators to parameter changes.
According to Ptak, the European Commission’s Fiscal Sustainability Report is an important policy document that should be updated regularly.

Keywords: fiscal sustainability, sustainability indicators, primary balance, government debt, population aging
JEL classification codes: H62, H63, H75, E62
Article: PDF

Małgorzata Stefania Lewandowska - Open Innovation in Polish Enterprises

The study assesses the impact of inbound open innovation (search and screening, cooperation and pecuniary open innovation) on the innovation performance of enterprises. The author also identifies the firm-level determinants of open innovation. The analysis is conducted using data for 2008-2010 from the Polish Community Innovation Survey (CIS). The sample covers 7,783 medium-sized and large manufacturing firms, 990 of which are selected for the final study (N = 990). The results of the structural equation model used by the author show a statistically significant relationship between innovation cooperation with competitors as well as in-house R&D performed on a continuous basis and innovation performance measured by the log of fraction of sales of innovative products. Based on the analysis of critical values between parameters, a hierarchy of attributes determining inbound open innovation is established.
The results of the study show a complex relationship between the analyzed dependent and independent variables, leading the author to conclude that innovation cannot be reduced to linear relationships.

Keywords: innowacja otwarta, sprawność innowacyjna, polskie przedsiębiorstwo innowacyjne, kwestionariusz PNT 02
JEL classification codes: O31, O32
Article: PDF

Agata Adamska, Piotr Urbanek - The Role of Mutual Funds in Corporate Governance Processes Among Listed Companies in Poland

The article evaluates the role of mutual funds as shareholders in companies listed on the Warsaw Stock Exchange as of the end of 2006, 2008 and 2010. The authors examine the involvement of mutual funds in the stock of publicly traded companies as well as the position of these funds compared to that of the largest shareholders. The authors also investigate the characteristic features of publicly traded companies whose shares are part of mutual fund portfolios. These companies are analyzed taking into account the status of the leading shareholder and various aspects of company operations such as human resources policy, business performance and changes to the ownership structure.
The authors conclude that that mutual funds play a limited role in corporate governance processes in publicly traded companies in Poland. This is primarily due to the relatively low financial involvement of the funds. Companies whose shareholders include mutual funds usually meet higher standards in terms of corporate governance than other businesses. This may stem from the fact that mutual funds are capable of selecting better companies for their portfolios than other shareholders, Adamska and Urbanek say.

Keywords: corporate governance, investment funds, publicly traded companies
JEL classification codes: G23, G32
Article: PDF

Dorota Kobus-Ostrowska - The Structure of Unemployment Among Disabled Workers in Poland’s Łódź Province

The article identifies factors determining unemployment among disabled people in Poland and looks at the specific features of joblessness in this group. The author compares Poland’s overall disabled population with the inhabitants of the central province of Łódź according to selected criteria. The analysis is based on reports by the Polish Ministry of Labor and Social Policy (MPiPS-01 and MPiPS-07). The author focuses on Łódź province because this province has had the largest number of disabled people country-wide over the past three years. It also has a high unemployment rate among long-term jobless.
The study shows that the number of disabled jobless aged over 55 is steadily increasing and that more than half the disabled are aged 49-59. There are more men than women among unemployed people with disabilities. What’s more, one in three disabled individuals in Łódź province and one in five in Poland as a whole became disabled due to working in hazardous conditions. Unemployed people with disabilities tend to be less well educated than other unemployed - 70 percent have only basic vocational education or less. However, there are also many jobless among disabled with a post-secondary and higher education. The analyzed group is more vulnerable to long-term unemployment than the overall jobless population. Increasingly longer periods of job search and repeated unsuccessful attempts to find employment result in a feeling of rejection and isolation from society, eventually leading to unwillingness to take up work altogether. As a result, the author says, disabled unemployed are increasingly giving up plans to look for work or losing their jobless status after failing to formally confirm their readiness to take a job.

Keywords: disability, professional activation, unemployed, economically inactive
JEL classification codes: J14, J64, J71
Article: PDF

Lidia Danik, Elżbieta Duliniec - Cultural Differences and International Business Cooperation

The aim of the article is to analyse some aspects of international cooperation of companies operating in different cultural environments. Polish companies collaborating with partners from China and Germany were taken as examples in the research.
The article reviews theoretical concepts concerning business relationships and the typologies of national cultures most often used in comparative analyses in the field. Next the results of earlier research on the national cultures of Poland, China and Germany are presented to prove that the three countries belong to different cultures. Literature studies helped to formulate several hypotheses based on the question whether business relationships depend on the country of origin of the parties involved and on the direction of the cooperation (export/import). The hypotheses were next verified in the field research of the sample of 280 companies with a CATI technique. Later the research results are a subject to a more general discussion. On the basis of the discussion, among others, some suggestions as to further research in the field are presented in the final part of the article.
Only some of the hypotheses on the relationships between certain aspects of the companies’ cooperation and their cultural background were confirmed. Substantial differences in the business relationships of the Polish companies with their Chinese and German counterparts apply only to the risk and the flexibility. The exporters differ from the importers in the perceived similarity to the partner. To conclude, both the country of origin and the direction of their operations are the factors diversifying the business relationships to a limited degree.

Keywords: companies’ cooperation, national culture, companies in international market, cooperation of Polish companies with German and Chinese partners
JEL classification codes: F23, L14
Article: PDF

Beata Namyślak - The Creative Knowledge Sector in the Economy

The author examines some basic definitions related to the so-called creative knowledge sector, comprising creative industries and knowledge-intensive industries. The article focuses on the role of the culture sector in the economy and looks at some key problems related to research on the creative knowledge sector. The article offers a theoretical framework for such research based on a study of available literature.
The creative knowledge sector consists of industries based on intellectual property resulting from science and culture, the author says. The sector is roughly divided into two components: creative industries (such as publishing, architecture, radio, television, advertising, design, crafts, photography, film, music, computer and video games/software) and knowledge-intensive industries.
Creative industries include culture industries such as museums, galleries, libraries, literature, and visual arts. According to Namyślak, culture industries play a growing role in the economy and may have an impact on the development of cities and regions through an improved use of human capital, creation of new jobs, and the development of complementary sectors such as tourism and recreation. Culture industries also play a role in stimulating the redevelopment of postindustrial areas and can help raise the profile of a city or region, the author says.
The article highlights some key problems related to the development of creative industries, including high business risk and a lack of trust among investors, in addition to a widespread view that these industries are not productive enough. Research in the area is marred by a lack of methodology for evaluating creative industries, the author concludes.

Keywords: creative knowledge sector, creative industries, knowledge-intensive industries, culture industries
JEL classification codes: B41, E20, Z11
Article: PDF

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