Central Eastern European Countries Research Articles

Characteristics and management of generalized pustular psoriasis (GPP): Experience from the Central and Eastern Europe (CEE) GPP Expert Network.

Generalized pustular psoriasis (GPP) is a rare, inflammatory skin disease characterized by widespread eruption of sterile pustules with or without systemic symptoms. This study aimed to describe the demographics of patients with GPP in Central and Eastern Europe (CEE), present the clinical characteristics of individual GPP flares and explore the current treatment landscape. Patient demographics were collected at the times of last observation and previous treatment. Characteristics of a patient's last (most recent) and most severe (from all documented episodes) flare were provided at clinician's discretion. Fifty-eight patients were recruited from 12 centres in nine CEE countries; median (range) age was 61 (16-92) years and 60.3% (35 out of 58) were female. The most common comorbidities were hypertension (43.1% [25 out of 58]) and hyperlipidaemia (32.8% [19 out of 58]). Thirty-four patients (58.6%) presented with concomitant plaque psoriasis before or during the course of GPP. Data from two separate flares were recorded in 26 individuals; in 32 patients, the most recent flare was reported as the most severe. Over 90% of patients with a flare episode classified as most severe by clinicians were hospitalized, with >75% of these individuals having a Generalized Pustular Psoriasis Physician Global Assessment (GPPGA) total score of 3 or 4. Systemic symptoms were more common in patients with a GPPGA score of 3 or 4 but were also manifest in individuals with a GPPGA score ≤2. A significant correlation was observed between a combined systemic disease score of clinical and laboratory features and both GPPGA total score (r = 0.385, p < 0.001) and GPPGA pustulation subscore (r = 0.305, p < 0.05). Considerable heterogeneity in the presentation of GPP flares was observed, both between patients and within-patient. All GPP flares were associated with a significant clinical burden, highlighting the unmet need for accurate and early diagnosis.

Left-behind places in central and eastern Europe—labour productivity aspect

Abstract In the 21st century, there have already been a series of economic downturns, particularly the Subprime Crisis 2007–2009 and the Covid-19 pandemic in 2020. All those events triggered changes in productivity, economic performance and structure. The main objective of this study is to identify the regions left behind in the Central and Eastern European (CEE) countries and to analyse the structural and productivity changes taking place within them. In our analysis, we aim to verify the research hypothesis that all left-behind regions in CEE have similar economic structures with a high share of agriculture. The research period covers the years from 2010 until 2020 using data from the Eurostat database. In the first phase of our analysis, we analysed employment, Gross Value Added (GVA) and productivity data for 11 CEE countries. Then, we analysed the Nomenclature of Territorial Units for Statistics at level 3 (NUTS3) regions, and Poland, which is a NUTS2 region. Left-behind regions are defined as those with low productivity and low growth rates. We provide a detailed analysis of the best and worst performing regions in terms of productivity for each country using productivity data and shift-share decomposition of productivity growth rate. Left-behind regions for each CEE country have been identified, and these are BG333, BG342, CZ080, EE004, HR023, HU332, LT027, LV005, PL72, RO216, RO312, SI032, SI035, SI038 and SK032. In our analysis, our hypothesis analysing the relationship between agriculture share in total employment and the productivity level of the region was not confirmed.

Strategic Significance of Joint Committees for Cooperation Between Three Seas Initiative’s Countries and the United Arab Emirates

The 21st century has brought many changes both in Central and Eastern Europe (CEE) and in the Middle East, where the United Arab Emirates demonstrates its will play the role of a leader in many initiatives in the international arena. In 2016, 12 CEE countries launched the Three Seas Initiative (3SI) for the implementation of strategic economic projects to adapt to new international challenges. This research paper aims to find an answer to the research question of what is the Joint Committees’ – J(E)C role and significance for relations between the United Arab Emirates and Three Seas Initiative countries? To achieve the set research goal, both quantitative and qualitative methods were applied, considering the quantitative potential of the analysed countries’ power to adapt to the international environment and influence its players. Then, a comparative analysis was used in terms of J(E)C sessions, top-level visits, and trade trends. The research findings show that the most important thing to achieve the strategic level of relations is the political will and the appropriate strategy. However, countries with high potential, and perceived power, do not need J(E)C for the stable development of economic cooperation. The research results indicate that in strategic partnership with the UAE, Austria has a role and position in energy and Romania in transport. On the other hand, Poland connecting both strategic routes appear as an economic hub.

Systems of innovation: Path of economic transition and differences in institutions in central and Eastern Europe?

AbstractAgainst the backdrop of the current political developments in Central and Eastern European (CEE) countries, such as Ukraine, Poland, and Romania, the question arises as to the role played by economic transformation and the resulting innovation linkages in these countries over the last 20 years. The main purpose of this paper is to explore the impact of economic and institutional dimensions on the development of CEE countries, explicitly distinguishing between European Union (EU) members and non‐members, and thus reflecting the differences in institutions and path dependency. Furthermore, the paper contrasts the performance of CEE countries with that of Western European countries. To achieve these objectives, the impact of factors such as innovation, institutions, and political practices on the economic development of 37 European countries from 2000 until 2020 is followed using fixed effects regression and Ordinary least squares (OLS) regression. The results of the analysis show the importance of institutional factors such as low levels of corruption, political freedoms, and intellectual property. The effect of institutional variables was particularly pronounced in the case of non‐EU countries, which indicates the particular importance of the development of stable institutions for achieving higher levels of economic development for this category of countries.

The Effect of Financial Development on Economic Growth among the Central and Eastern European Countries

Abstract To control for the endogeneity problem, this study applies the two-stage least squares technique to examine the impact of bank and stock market development on economic growth in the thirteen Central and Eastern European (CEE) countries in the European Union (EU) during 2001–2020. The first hypothesis states that the higher bank development has not contributed to higher growth in the CEE countries. The overall results only support the hypothesis for the subperiod of 2001–2009. The second hypothesis states that the higher stock market development has not spurred growth in the CEE countries. The overall results support the hypothesis over the entire period of 2001–2020. Finally, despite the CEE integration with the EU developed countries for the past decades, there is a very limited number of empirical studies on the finance–growth relationship in the CEE countries. This study contributes to the relevant literature by examining the bank and stock market development’s relationship with growth in the CEE developing countries.

Entrepreneurial intentions of students from Latvia, Poland, and Ukraine: The role of perceived entrepreneurial education results

Purpose: Our main aim is to establish which factors influence entrepreneurial intentions, with a particular focus on the role of entrepreneurial education and university support in Central and Eastern European countries (CEE). An additional aim is to determine the differences in these perceptions between students from seemingly similar but rather different CEE countries. Methodology: We based our study mainly on two theory constructs, namely the entrepreneurial support model (ESM) and entrepreneurial self-efficacy (ESE). Both concepts often appear in research on entrepreneurial intentions, but they are not used together. Moreover, we proposed a new education-related factor – perceived entrepreneurial education results (PEER). To verify hypotheses quantitative research was conducted using surveys among 2,085 first-year undergraduate students from three technical universities in three countries: Latvia, Poland and Ukraine. Findings: The results of the study indicate that entrepreneurial self-efficacy, perceived entrepreneurial education results, and perceived educational and relational support all influence the intention of students to launch a venture. The research did not provide support for the hypothesis of an impact of perceived structural support (PSS) on intentions. The impact of perceived educational and relational support appeared to be less important than the impact of ESE and PEER on intentions. Additionally, we identified that there are significant differences between students from the analysed countries. Implications for theory and practice: Our research has identified a new factor, not previously used in studies of entrepreneurial intentions, that is, perceived entrepreneurial education results. This new factor can be used in research as a complement to self-efficacy and it refers to hard skills related, in this particular case, to entrepreneurship. The results show the importance of the national context, implying the need to take this into account when modelling support policies at a national level. The findings can be used to remodel how this knowledge is delivered to young people. Originality and value: Firstly, we proposed the inclusion of a new education-related component called perceived entrepreneurial education results, which can examine the perceived results of education at any level, in our case, at the secondary school level. Secondly, we showed the stronger influence of factors related to perceptions of one's own skills than perceptions of support from the environment. In addition, we demonstrated that making judgements or recommendations about entrepreneurial support, for rather similar countries, should be considered separately. Furthermore, we conceptualised the three aspects ESE, PEER and ESM in a new way. Finally, we also proved that the role of individual factors varies from country to country, even if the countries belong to the same cultural background and share a similar past experience.

The Effectiveness of Conventional and Unconventional Monetary Policy in CEE countries using TVP-FAVAR models

The paper analyses the role of monetary policy in economic activity and studies the responses of the economic growth rate and inflation rate to conventional and unconventional monetary shocks in three Central and Eastern European countries: Romania, Hungary, and the Czech Republic. The research focuses on the recent evolution of the economy affected by the health crisis, military conflict in Ukraine, and high inflation. The study offers a high degree of novelty using Vector Autoregressive models with Time-Varying Parameters and common factors (TVPFAVAR). The results of the estimation are consistent with expectations and economic theory, and the models could provide clear view of the impact of monetary policy measures applied, depending on the phase of the economic cycle. The TVP-FAVAR models could give assistance to policymakers in the formulation of the most suitable monetary policy measures in the economic recovery process and maintenance of price stability.

МІЖНАРОДНІ ФІНАНСОВІ ПОТОКИ В КРАЇНИ ЦЕНТРАЛЬНОЇ ТА СХІДНОЇ ЄВРОПИ ПІСЛЯ ГЛОБАЛЬНОЇ ФІНАНСОВОЇ КРИЗИ 2008 РОКУ: СТРУКТУРНІ ОСОБЛИВОСТІ

In our study, we will focus on determining the dynamics and structural changes in the flows of foreign capital to the countries of Central and Eastern Europe after the global financial crisis of 2008. For the analysis, we selected a group of Central and Eastern European countries that joined the European Union: Bulgaria, Romania, Poland, Hungary, the Czech Republic, Slovakia, Slovenia, Estonia, Lithuania, Latvia, as well as the post-Soviet European countries - Ukraine, Belarus, Russia and Moldova. We chose three periods for the study: the first period from the beginning of liberal reforms to the present (1991-2021); the second period from macroeconomic stabilization to the global financial crisis (1994-2008); the third period covers the post-crisis period before the start of the Russian-Ukrainian war (2009-2021). The article examines the structure of the inflow of foreign capital to the countries of Central and Eastern Europe before the global financial crisis of 2008 and in the period after it. It was determined that the share of direct and portfolio foreign investments in the structure of foreign capital increased significantly in the post-crisis period. In the post-crisis period of 2009-2021, there was a significant increase in the average value of the stock of foreign direct investment to 41.2% of GDP and a more than two-fold decrease in the volatility of FDI inflows, which amounted to 5.2, as well as a 1.5-fold increase in portfolio foreign investments and a drastic reduction in the volatility of this type of foreign capital to 2.69. As for other investments, they remained at the pre-crisis level, but volatility decreased by a quarter. An econometric study of the influence of the stock of foreign direct investment and foreign debt per worker on the level of economic well-being in the CEE countries was conducted, which proved the strengthening of the role of foreign direct investment after the global financial crisis and the lack of influence of foreign debt. In our opinion, the governments of the CEE countries have focused on the economic policy of slowing down foreign capital flows and avoiding financial risks associated with foreign debt flows. Today's geopolitical tensions, the Russian-Ukrainian war will contribute to the deepening of these processes, increasing the influence of states on limiting international financial flows.

Impact of national culture on insurers’ risk-taking: evidence from selected CEE countries

Impact of national culture on insurers’ risk-taking: evidence from selected CEE countries

Impact of national culture on insurers' risk-taking: evidence from selected CEE countries

Impact of national culture on insurers' risk-taking: evidence from selected CEE countries

Supply Chain Interconnectedness in Times of Crises: A Gravity Model with DiD Analysis of COVID-19 Effects on Central and Eastern European Trade

This paper explores the impact of COVID-19-induced disruptions on supply chains, specifically focusing on the interconnectedness of supply chains and the transmission effects they cause. The gravity model framework, together with difference-in-differences analysis, is employed to analyze monthly trade patterns among Central and Eastern European (CEE) countries, Western European countries, and other trading partner countries. The model presented accounts for the country’s roles in global value chains (GVCs) by incorporating data related to exports, imports of intermediate and capital goods, and imports of final consumption goods. CEE countries have demonstrated a certain resilience during the COVID-19 pandemic. Yet, they were not immune to adverse consequences due to disrupted supply chains, primarily in the imports of intermediate and capital goods. We find that the countries that suffered from the COVID-19 pandemic the least demonstrated remarkable resilience against disrupted GVCs. The findings of our study enrich the literature on the effects of the COVID-19 pandemic, specifically for the CEE region, by providing a framework for understanding the pandemic’s impact on international trade. The results show that supply shock might be greater than demand shocks on production and trade dynamics. Furthermore, our results suggest that policymakers seek adaptability to changing supply and demand patterns, while enterprises should consider broader diversification both within the region and locally.

Export Complexity and Economic Growth: Empirical Analysis for Selected CEE Countries

Export Complexity and Economic Growth: Empirical Analysis for Selected CEE Countries

Effects of Psycho-Cultural Factors on Adopting Changes in Defense

There is a constant need for the defense/military institutions to undergo continuous development in order to adjust to modern standards and requirements, often necessitating systemic changes. As part of this development, since the end of the Cold War, defense organizations in many Central and Eastern European (CEE) countries have endeavored to adopt advanced strategic management practices from their Western counterparts in terms of integration process into NATO and the EU.&#x0D; However, these efforts have not always been successful. The attempt of the Central and Eastern European (CEE) countries to adopt changes within their defense organizations, particularly in strategic defense planning area through institutionalizing Planning, Programming and Budgeting System (PPBS) serves as such a case. Scholars often highlight factors altering this failure, focusing on the issues like centralized decision making, lack of understanding, resistance to change etc.&#x0D; This paper analyzes other influencing factors, namely the importance of considering psycho-cultural factors while introducing changes within defense organizations and explains the main reasons for failure in successfully adopting PPBS. The study was conducted using qualitative methodology, primarily case study, to comprehensively analyze the topic.&#x0D; Based on the findings, the authors conclude that in CEE countries psycho-cultural apsects significantly influence the implementation of changes in the defense sector in parallel with the factors mentioned above. In the case of CEE countries, these psycho-cultural factors are reinforced by the post-socialist legacy, which is characterized by a lack of creativity, collaboration, coordination, and consensus building, leading to reluctance and resistance to changes when it comes to adopting modern practices.&#x0D; Overall, the findings validate the hypothesis proposed in the paper - disregarding psycho-cultural factors in the process of change implementation contribute to the failure.&#x0D; The study also demonstrates the effectiveness of supporting the change implementation process through the utilization of Organizational Change Management (OCM) which is actively employed by Western organizations in the defense sector.

The Impact of Informal Institutions on the Tax System Policy Responses due to Covid-19: Evidence from CEECs

Informal institutions matter in the context of the tax systems of Central and Eastern European countries (CEECs), especially during the Covid-19 crisis. The purpose of this paper was to investigate the impact of the informal institutions on the stability of tax system policy responses due to Covid-19. The research is based on informal institutions of CEECs such as different values and norms, customs, or traditions. The research methodology focuses on secondary statistical data from 18,785 surveys from the European Social Survey Round 9 (2018) edition 2.0 and from 211 tax system policy responses due to Covid-19 of the OECD for 11 CEECs. The findings show that informal institutions such as trust in others or trust in legal system have a positive impact on the stability of the tax system of CEECs policy responses due to Covid-19.

Responsive Judicial Review “Light” in Central and Eastern Europe – A New Sheriff in Town?

Abstract This article engages with Ros Dixon’s theory of “Responsive Judicial Review” (oup, 2023). It argues that Central and Eastern European jurisdictions with specialized constitutional courts face two major obstacles to engage fully in responsive judicial review – legal formalism and the very fact that constitutional review is centralized into one institution, which discourages pluralistic debates about the constitution and limits the room for dialogue between the constitutional court and other actors. Even the Czech Constitutional Court that meets all three Dixon’s preconditions for courts’ ability to engage in responsive judicial review (judicial independence, political support, and remedial power) and is probably the most Elyan constitutional court in cee faces several obstacles to responsive judging. As a result, its responsiveness has been selective. Nevertheless, although full-fledged responsive judicial review is difficult to achieve in cee countries in the short term, their constitutional courts can, as the Czech Constitutional Court shows, exercise responsive judicial review “light”. We argue that such “light version” of responsive judicial review would still be a great improvement and we provide several proposals how to increase the likelihood that it happens.

The reflexive relationship between financial and social exclusion for the selected Central-Eastern European countries

This study primarily examines how the risk factors that lead individuals to social exclusion, disadvantage, and deprivation contribute to financial exclusion and vice versa. This causal relationship for financial and social exclusion is formulated using the simultaneous equations model. Along with the causal relationship, this study identifies the leading personal and environmental determinants for both the probabilities of being unbanked and socially excluded. I use demographic, socioeconomic, and geographic information from the Life in Transition Survey III, conducted in 2016. The study found a reflexive causal relationship between financial and social exclusion in the selected Central-Eastern European countries. Namely, people at risk of social exclusion are more likely to be excluded from access to financial services. On the other hand, those at risk of financial exclusion are more likely to be socially excluded.

Funding gap in the Hungarian venture capital market

Our study investigates the size of the so-called financing gap in the Hungarian venture capital market, i.e. the amount that can potentially be lent out, which is currently not covered by the Hungarian financial intermediary system on a market basis. The relevant literature will be reviewed to assess the performance and characteristics of the Hungarian market. The Hungarian financial intermediation system, traditionally based on banking, underperforms in all segments of capital market financing, even by Central and Eastern European standards. In our research, we sought to find out whether the available sources of venture capital could meet market needs. Both the number and volume of transactions in the domestic venture capital and private equity markets are low by international standards, and the role of the state is below the average for CEE countries. The novelty of our analysis lies in the fact that there is no similar literature available in Hungary. Our estimation based on linear regression revealed a strong relationship between venture capital investment and current GDP. The difference between the estimated potential risk capital stock and the annual averages zrealized clearly shows the market gap. In addition to the public programmes already implemented, the annual amount of risk capital missing from the domestic market is in the order of EUR 12.5-31.6 million, i.e. roughly HUF 5.1-13.3 billion per year at the euro exchange rate at the time of analysis. If this resource were available, domestic startups would have greater growth opportunities. Our analysis suggests that not only a state presence but even an increase in it, seems justifiable (or at least worth exploring). The research was supported by the National Research, Development and Innovation Office (FK-142492).

Measuring economic resilience for the CEE and Black Sea countries in the framework of comprehensive defense

The main research objective of this paper is to identify key factors influencing economic resilience from the perspective of comprehensive defence. This involves developing a composite economic resilience index (Ericda) that outlines the relative economic resilience of countries in Central and Eastern Europe and the Black Sea regions, within the comprehensive defence framework. The paper employs qualitative research methods, focusing on an analysis of specialist literature pertaining to economic resilience. Quantitative methods are also used for developing the Economic Resilience Index from the Comprehensive Approach to Defence (Ericda) perspective. This includes using data on selected resilience indicators in Central and the Eastern European and Black Sea region countries to generate rankings. The results of the study reveal strong positive correlations between the economic resilience index and various factors, such as logistics and infrastructure, economic complexity, foreign trade vulnerabilities and dependence, economic stability and development, governance effectiveness, military, and human capital. Additionally, a negative correlation was observed with the resilience index. The research findings suggest that to ensure effective comprehensive defence, isolated measures targeting individual pillars are inadequate. Economic resilience requires a collaborative approach, extending beyond the purview of the finance ministry and involving a broader range of stakeholders.

Achieving Democracy through Interest Representation?

The article discusses a link between interest representation and its importance for democracy. After looking at the pluralist, corporatist and neo-pluralist approaches, the article focuses on the role of interest groups in associational, deliberative, and participatory democracies. I debate whether or not interest representation is a necessary element of democracy and whether the theoretical background can help us grasp it across all political systems. I address this question in the context of young, post-Communist democracies in Central and Eastern Europe (CEE). I argue that in the CEE countries when studying interest groups’ populations and organizational behaviour, we have to take into consideration a number of internal and external factors that impact perceptions and actual activity of interest groups when it comes to countries’ democratization.

The Achilles Heel of Constitutional Jurisprudence: Conceptualization of Minority Rights by Constitutional Courts in Central and Eastern Europe

AbstractThe minority question has long been a hot topic in Central and Eastern Europe. Whereas most CEE countries guarantee the privileged position of the dominant nation, they also recognize the existence of national minorities and provide special rights for them. Hence there is an apparent contradiction between the values of the nation-states: unity and diversity. This article proposes that to resolve this contradiction, it is necessary to define the concept, scope and limitations of group-specific minority rights, as well as their relationship with other human rights and the nation-state. Constitutional courts are appropriate candidates for this task. However, based on our analysis of the relevant constitutional jurisprudence of five CEE countries – Croatia, Hungary, Romania, Serbia, and Slovenia – it seems that constitutional courts in the region have failed to properly conceptualize minority rights. Instead of developing appropriate tests for assessing the constitutionality of legal regulations, they have only superficially touched upon the conceptual issues of minority rights, using incidental, case-by-case arguments to justify the (un)constitutionality of the legal provisions. Therefore, this article also attempts to outline a constitutionality test that may be suitable for constitutional courts to consistently evaluate submissions that challenge the constitutionality of laws on minority rights.