Economy In Poland Research Articles

Estimating the size of informal economy in a post-transition country – the case of Poland

ABSTRACT The size of the informal economy in Poland is estimated by means of the Currency Demand Approach (CDA). Using quarterly data for the period 1999–2019, we adopt two separate econometric approaches. First, we specify a single equation model to estimate it with the Fully-Modified OLS method. Second, the CDA coefficients are treated as a cointegrating vector in a cointegrated VAR. The size of the informal economy in Poland is found to have diminished from about 32% of GDP in 2000 to about 12% of GDP in 2019. We provide confidence intervals for our estimates which, to our best knowledge, are rarely presented in the literature; their width ranges from 3 to 7% of GDP.

Public Investment at the Local Level under Changing Conditions of Budgetary Economy in Poland

Purpose – The aim of the article is to identify the scope and directions of changes in the situation of local government budgets and their links with macroeconomic factors, the occurrence of which is associated with the consequences caused by crisis phenomena, as well as to determine the disparity of investment expenditures in local systems in the context of the investment capacity of local government units. Research method – The study applied the method of critical analysis of the literature on the subject, as well as the method of comparative analysis using measures of statistical description in the scope of empirical data collected and own calculations. Results – The consequences of the pandemic crisis phenomena and adverse trends in macroeconomic factors affect the stability of the budgetary economy. It was observed that until 2021, the level of investment expenditures did not decrease, however, negative changes in the structure of expenditure are noticeable in many local government units. Originality /value /implications /recommendations – The analysis of the economic environment indicate the risk of intensification of factors destabilising economic processes. It is necessary to undertake regular analyses with a view to counteracting the further negative changes, in particular in the field of the revenue stability of territorial self-government units, as well as the elimination of excessive spatial diversification of investment capacities on the scale of Poland.

Financing investments in the regional structure in the face of crisis phenomena in Poland

Purpose: Assessment of changes in the size of investment outlays and territorial diversification of investment activity in the conditions of crisis phenomena, broken down by selected groups of entities forming the national economy in Poland. Design/methodology/approach: The method of critical analysis of the literature on the subject and the method of comparative analysis in the field of empirical and statistical data in the generic and territorial arrangement according to selected categories of regional and subregional units. Findings: The financial diversification of the scope of investment activity of groups of entities operating in the national economy was indicated, in detail in terms of the central and local government subsectors. The scale and directions of changes in spatial disproportions of investment potential in regions and subregions in Poland were identified, taking into account changes resulting from the observed crisis phenomena in the period 2010-2021. Research limitations/implications: The presented research results are limited by the availability of empirical data in detailed territorial systems. Due to the currently observed dynamic changes and economic turbulence, it is advisable to constantly update data and further analyzes in the conditions of ongoing crisis phenomena. Practical implications: The practical dimension of the analysis refers to possible applications in the preparation of diagnoses and plans for socio-economic development at various levels of public administration competence. Social implications: The results of the research may provide information for public sector entities supporting the processes of programming public investments in order to achieve socio economic cohesion, reduce social disparities and improve the living conditions of the population. Originality/value: The paper contains the results of analyzes on the consequences of crisis phenomena affecting the national economy and the ability of its selected components to undertake investment outlays. The applied territorial approach provides new knowledge that can be used in further detailed scientific research and in the decision-making process regarding the conduct of investment policy at the national and regional level. Keywords: investments, regional development, economic crisis, public sector. Category of the paper: Research paper.

Przekazanie sądowi powszechnemu sprawowania kontroli administracji publicznej jako odstępstwo od kognicji sądów administracyjnych na przykładzie Sądu Ochrony Konkurencji i Konsumentów

The goal of the article is to present the historical development of the exception from the rule of the court administration review by administrative courts, which is the transference of its conducting to the Antitrust Court (currently the Court of Competition and Consumer Protection). The additional goal is to answer the question of the grounds of the transference to a popular court the jurisdiction in antitrust cases, and then in regulatory cases. Two theses were formulated by the authors. The first thesis states that the Polish antitrust court model were based on the liberalization processes. The second thesis assumes that, despite faulty solutions in the procedural area, the functioning of the jurisdiction of the Court of Competition and Consumer Protection contributed to the development of competitive economy in Poland. The authors begin their consideration with the Act from 17th March 1921. The Constitution of the Republic of Poland (the so-called March Constitution) and the Act of 3rd August 1922 on the Supreme Administrative Tribunal. In addition, they analyze the liberalization processes that took place in Poland after the changes of 1989. The second part covers the genesis of the Competition and Consumer Protection Court, the evolution of the jurisdiction of the Antimonopoly Court from 1990 to 2017 and the analysis of the issue of hybrid appeal proceedings. In this part, the authors refer to draft laws, transcripts of the sittings of the Sejm of the Republic of Poland and analyze the statistics of the case law of the Court of Competition and Consumer Protection from 1992 to 2020. The deliberation shall be based on legal regulations and scientific papers. The analysis shall focus on the proposed bills and on the related legislative process. The following methods were applied in the article: dogmatic-legal and analytic-synthetic.

Study on the influence of foreign direct investment on innovations in enterprises in Poland using the ECM model

In many theories of economics and empirical research, foreign direct investment (FDI) is perceived as a potential technology transfer channel bringing tangible benefits to FDI exporting countries and host countries. In light of some theories, such as Vernon’s product life cycle theory or Dunning’s pull factor theory, and the results of empirical research, the impact of inward FDI flows inhibits the development of innovation or has a neutral effect on innovation in the host country. In the era of the growing internationalisation of enterprises, and the search for opportunities for enterprises to compete on the domestic and foreign markets, innovation is becoming one of the most important elements of building a competitive advantage. Innovation and new technologies are also of fundamental importance for Polish enterprises that want to compete effectively. The question is, to what extent FDI in Poland favours this process, and to what extent limits it? In the empirical studies conducted so far for the Polish economy in the field of the relationship between the inflow of FDI and innovation, there are not many models that would allow to describe the cause-effect relationship between the discussed categories. The authors of this article attempt to fill this research gap. The main goal was to examine the directions and intensity of the impact of foreign direct investment on the level of innovation of enterprises in the main sectors of the economy in Poland. The study used, among others, panel data models with error correction mechanism (ECM) and the Granger causality test. The results confirmed the positive impact of foreign direct investment on the innovativeness of enterprises both in the industrial sector and in the service sector. Moreover, the impact of FDI on the innovativeness of enterprises in the industrial sector turned out to be stronger than the impact on the innovativeness of companies from the service sector.

The perspectives of Hydrogen Valleys in Poland

Green transformation is a term primarily referring to the process of societal and economic change towards more sustainable and environmentally friendly development. For this to take place, the energy balance should include renewable energy sources, such as solar, wind, or geothermal energy, energy efficiency to limit greenhouse gas emissions, electromobility, a circular economy, infrastructure modernization, and pro-environmental policies. Green hydrogen is also a solution. It is an energy carrier that can become a crucial pillar of the transformation of the Polish economy. The hydrogen economy in Poland is expected to be based on the creation of hydrogen valleys, in line with the European Union's hydrogen strategy, and will be a coherent element of the European Hydrogen Ecosystem. Additionally, achieving the climate neutrality of the EU, as well as Poland, is not possible without the widespread use of green hydrogen in energy production, gas, industry, and transportation. However, a crucial condition is that this hydrogen must come from emission-free renewable energy. Key words: Poland, EU, hydrogen, energy transformation, hydrogen valleys, renewable energy sources, strategy

Changes in the Financial Liquidity of Business Entities of the Small and Medium-Sized Enterprises Sector in Poland

Small and medium-sized enterprises are a special type of enterprise. They are characterized by unity of ownership and management, personal responsibility for business activities. Business entities today operate in an increasingly dynamic and complex environment. Small and medium-sized companies are particularly affected by rapid economic, political, social and technological changes. The development of the small and medium-sized enterprise sector depends on external factors that individuals cannot influence, as well as internal factors - determining the opportunities available to the entity and directly influenced by it (e.g., in terms of its resources, level of innovation, efficiency and effectiveness of management). Companies in the SME sector face many barriers in their operations that prevent them from growing. One such barrier may be difficult access to external funding. Raising capital to start and run a business is a very important problem for today's small and medium-sized businesses. The raising of capital, and consequently the handling of that capital, are closely related to development opportunities. Small and medium-sized businesses are an important determinant of the economy in Poland, but also in EU countries and around the world.

Is the Blue Economy possible in Poland?

Although the concept of the blue economy is relatively new, the European Union is already taking steps to make it a reality. Therefore, it is necessary to determine the scope of activities that should be carried out for the sustainable development of the blue economy in Poland. It was decided to analyze basic data and indicators to verify whether the Polish maritime and coastal economy meets the goals of the blue economy. During the research, it became apparent that inaccuracies in terminology affect the selection of indicators. Therefore, the definitions and classification of sectors related to the blue economy were verified. Based on the literature review and the available data, the Polish maritime and coastal economy has considerable potential to be transformed into a blue economy. However, major barriers have also been identified, the removal of which requires a systematic approach. Furthermore, the benefits and costs associated with the transformation are highlighted.

Opportunities and Limitations of Hydrogen Energy in Poland against the Background of the European Union Energy Policy

One of the strategic goals of developed countries is to significantly increase the share of renewable energy sources in electricity generation. However, the process may be hindered by, e.g., the storage and transport of energy from renewable sources. The European Union countries see the development of the hydrogen economy as an opportunity to overcome this barrier. Therefore, since 2020, the European Union has been implementing a hydrogen strategy that will increase the share of hydrogen in the European energy mix from the current 2 percent to up to 13–14 percent by 2050. In 2021, following the example of other European countries, the Polish government adopted the Polish Hydrogen Strategy until 2030 with an outlook until 2040 (PHS). However, the implementation of the strategy requires significant capital expenditure and infrastructure modernisation, which gives rise to question as to whether Poland is likely to achieve the goals set out in the Polish Hydrogen Strategy and European Green Deal. The subject of the research is an analysis of the sources of financing for the PHS against the background of solutions implemented by the EU countries and a SWOT/TOWS analysis on the hydrogen economy in Poland. The overall result of the SWOT/TOWS analysis shows the advantage of strengths and related opportunities. This allows for a positive assessment of the prospects for the hydrogen economy in Poland. Poland should continue its efforts to take advantage of the external factors (O/S), such as EU support, an increased price competitiveness of hydrogen, and the emergence of a competitive cross-border hydrogen market in Europe. At the same time, the Polish authorities should not forget about the weaknesses and threats that may inhibit the development of the domestic hydrogen market. It is necessary to modernise the infrastructure; increase the share of renewable energy sources in hydrogen production; increase R&D expenditure, and, in particular, to complete the negotiations related to the adoption of the Fit for 55 package.

The importance and potential of photovoltaics in the context of low-carbon development in Poland

The main topic of the study is the development of photovoltaic systems in Poland, and its main goal is to characterize the current situation and development prospects in a given subject area in the context of the growing importance of the low-carbon economy in Poland. The study uses both secondary and primary (Foresight) data. The development of photovoltaic micro-installations in Poland, recorded in recent years, was possible thanks to the state support. Unnecessary administrative barriers have been removed; legal provisions have been simplified and adapted to small, distributed systems. However, there is a risk of a slowdown in the high dynamics of rates on the analyzed market in Poland due to changes in legal solutions introduced by the state.

Civic and Uncivic Values in Poland: Value Transformation, Education, and Culture

Civic and Uncivic Values in Poland: Value Transformation, Education, and Culture

Economic and legal determinants of low-emission economy in local governments: Selected aspects

The development of a low-emission economy in Poland is dictated by the requirement to reduce GHG and other air pollutants in all areas of the economy. The greatest expectations in terms of air quality improvement are related to limiting the use of coal for energy production, implementing new technologies, and increasing energy efficiency. It is the responsibility of local governments to develop appropriate strategies to help achieve these goals, especially in the areas of construction and public transportation. The article presents an analysis of legal regulations in the field of low-carbon economy in Poland. It discusses the role of local government in the development of a low-carbon economy. It also determines main problems and challenges in implementing a low-emission economy.

Prospects for the Development of the Demand for Carp in Poland among Young Consumers.

Carp fishing economy in Poland has a centuries-old tradition. However, in the last decade, as a result of changes in global market trends, this industry has experienced stagnation. Still, the elimination of this niche industry may have painful consequences for the entire ecosystem and biodiversity. Hence, every effort should be made to protect and maintain the status quo. The aim of the article is an attempt to show that the development prospects for the carp market in Poland are limited, especially in the face of little interest in carp consumption by young adult consumers, who will create the demand for carp in the near future. The remedy may be to change the image of the carp together with a territorial marketing strategy that would be consistent with the preferences of the young generation. The research was conducted on the basis of a critical analysis of the literature of the subject, focus studies, questionnaires and a case study.

Factors Fostering Shadow Economy Performance in Poland and Lithuania during 2000-2019

This study relies on a calculable and essential analysis of a statistically oriented regression model. Ninety-five variables taken into consideration in this research were grouped into four categories. The first category covers the general macroeconomic situation, the second is devoted to crime, the third is formed by characteristics of income and living conditions, and the fourth one applies to the taxation system. The Multiple Indicators Multiple Causes (MIMIC) model was employed to measure the level of shadow economy in Poland and in Lithuania during 2000-2019. The MIMIC model depends on Structural Equation Models. The MIMIC approach allows one to assess shadow economy as a latent variable. The observed factors are government employment/labor force, tax burden, subsides/GDP, social benefits paid by government/GDP, self-employment/GDP, and unemployment rate. The Pearson correlation index was used to size up the correlation between independent variables, and Kolmogorov–Smirnov (KS) test for normality of residuals was applied. In both countries, factors affecting the shadow economy performance show great similarity. The shadow economy development in Poland and in Lithuania is fostered by many different factors, related to, but not limited to, the general macroeconomic situation. In fact, the economic situation is associated with the standard of living, income as well as the crime rate. Important factors are associated with the taxation system. The results demonstrate that the regression model can be used to predict the shadow economy development and performance in Poland and in Lithuania. Such information facilitates taking adequate steps in order to minimize the shadow economy level in both countries. Such implications are very useful for decision makers in shaping the legal and economic progress in both countries.

“Cashless Taxpayer” – An Innovative Tool to Stimulate Reduction of the Shadow Economy in Poland

Promoting electronic payments and a cashless economy is an important factor in reducing the shadow economy, increasing VAT collection and reducing VAT fraud. Starting from 1 January 2022, Poland joins pioneer countries in constructing tax incentives for cashless payments. So-called “cashless taxpayers” gain a very important advantage: the refund of VAT in 15 days. Poland puts technological tools at the taxable persons’ disposal that, without involving them, will verify whether they have met the criteria for the application of the preferential tax refund scheme on the basis of the data submitted online to the tax administration. Thanks to new technologies and the digitalization of the Polish tax administration such ambitious programmes are possible.

Optimization of the mechanism of financial incentives for the development of logistics activities in the polish construction industry

The article explores the role of various financial incentive instruments in optimizing the financial mechanism of logistics development in the construction sector of the economy. The author focuses on the necessary to use a synergistic approach in the study of efficiency issues of two related industries - logistic and construction sectors of the national economy. Positive factors such as convenient location, available transport potential, established logistics system, material and resource base and the potential of domestic producers determine the rapid development of the construction industry, which brings its significant contribution to the development of the national economy of Poland. At the same time, the main factor contributing to the development of construction business is domestic production of construction materials. In this context, it should be noted that the country has developed the potential of its own production of building materials, there is a sufficient fleet of construction machinery and construction equipment, innovative technologies are being introduced, highly qualified personnel, etc. Comprehensive assessment of financial-investment and transport-logistic potentials in the context of the regions, as well as differentiated approach allowed to offer a matrix of financial stimulation tools for the development of logistics in construction in a horizontal and vertical strategy. At a time of intensifying crisis phenomena, simultaneous stagnation of regional development and increasing competition in the globalized world, the issues of selecting effective instruments of financial support for the development of national transport and logistics system and construction sector of economy gain priority importance, as they can generate a significant increase in the gross domestic income of the state budget and become one of the main sources of ensuring Polish competitiveness.

The Problem of Memory Policy in Polish-German Relations

The main idea of upon article is the pragmatic vision to an understanding of the “historical problems” role led to solving some challenges, which took place in the early stages of Polish-German understanding. But is needed to mark, the history had one of the leading roles in this process. Of course, the negotiation on the signing of the German-Polish Border Treaty was hard. The legacy of the World War II influenced the process. The legacy was rooted in a few unsolved questions: the question of demands of expelled people to the Polish Government and the question of indemnity for Polish victims of Nazism. For the new democratic Polish Government, the question of indemnity was “highly ranked”. For many years, Polish society tried to take financial compensation for the crime of Nazism. But, due to ideological reasons, it can’t reach it. On the other hand, the economy of Poland was in deep degradation, which had caused by transformation to the new market economy. And the Polish Government planned to take some advantages in the process of the negotiation. Germans Chancellor H. Kohl had a strong linkage with the expelled environment. Due to this reason, the Head of the Western German Government had fear about the future of the Polish-German Border Treaty. He feared the worth – a voting failure for ratification of the Treaty. In this case, H. Kohl tried to avoid this question in the negotiation process. During the negotiation, German understand clearly, it needs to avoid treatment compensation for Polish people as reparations for Poland. The roots of this reason located in the Moscow Treaty by 1953. According to the Moscow Treaty, Polish People Republic has abandoned from reparations demands on behalf of the German Democratic Republic. Moreover, Polish People Republic proclaimed on behalf of the whole German, including the Federal Republic of German. H. Kohl understands the significance of this decision and tried to support avoiding historical questions from the negotiation process. But, the problems of indemnity for victims of Nazism were discovered with new power at the end of the 90th. During the international negotiation, Germany commonly with German business created Special Fund “Erinnerung, Verantwortung und Zukunft” for payment of compensation for a wide range of victims, including for Polish victims.

РОЗВИТОК СОЦІАЛЬНОЇ ЕКОНОМІКИ В ПОЛЬЩІ: ДОСВІД ДЛЯ УКРАЇНИ

Розвиток соціальної економіки сприяє підвищенню добробуту населення, що є одним з головних завдань будь-якої держави. Наявність певних соціальних проблем в Україні потребує аналізу іноземних практик реалізації соціальних цілей для зростання рівня життя населення. В умовах євроінтеграційних прагнень такою державою для України є сусідня Польща.Для розкриття цих питань проаналізовано позитивний досвід розвитку соціальної економіки та забезпечення зайнятості в Польщі й окреслено можливості його застосування в Україні. Розглянуто практику соціальної економіки в Польщі, порівняно Україну і Польщу за окремими соціальними індикаторами (кількістю закладів соціального забезпечення, рівнем безробіття, рівнем зайнятості, середньою місячною заробітною платою, рівнем самозайнятості), окреслено напрями реалізації соціального розвитку в Польщі з акцентуванням на їх можливому використанні в Україні. Розглянуто таксономічні методи для визначення соціального розвитку Польщі та змін у сфері ринку праці обох країн. Виокремлено основні детермінанти польської моделі соціальної економіки: стабільний економічний розвиток, що сприяє підвищенню рівня життя; низький рівень безробіття; розвинута соціальна інфраструктура; підвищення середньої заробітної плати; розвинутий недержавний сектор соціального забезпечення; стабільність ринку праці та його здатність адаптуватися до нових викликів.Наголошено на низці проблемних питань у розвитку соціальної економіки в Україні, зокрема відзначено низький рівень заробітної плати порівняно з сусідніми європейськими країнами; високий рівень безробіття; низький рівень самозайнятості населення; високий рівень тіньової економіки. На основі аналізу позитивного досвіду Польщі окреслено ряд можливих напрямів розвитку соціальної економіки в Україні.

Management of Innovations in Organic Food Distribution and their Impact in Times of Covid-19 Pandemic and Electronic Economy in Poland

Purpose: The major goal of this study is the identification and assessment of innovations in organic food distribution and their importance in times of pandemic and electronic economy in Poland, especially actions undertaken by special chain stores of organic food. Approach/Methodology/Design: A study of a selected chain store was carried out in 2021 by the Mystery shopper method in Warsaw, Wroclaw, Swarzedz and Poznan. It was comprehensive and of nationwide character. The results were compared with customers’ opinions in which way a comprehensive assessment was achieved. Additionally, the study presents information about the development of chain stores in Poland including those which sell organic foods. Characteristics of organic food customers in the time of pandemic and electronic economy have been presented as well as the concept and classification of innovation and innovative solutions implemented in similar chain stores abroad. Findings: Implementation of technological innovation was assessed for a selected specialist chain store. Innovative, 24 hour, phone application based customer self-service with no personnel present (24/7) meets customers’ expectations and is well rated by most of them (well and very well by 81%). Customers’ comfort and communication were best rated, time efficiency slightly lower, whereas reliability was given the lowest, though better than good, score. Practical Implications: The study provides clients with the possibility of doing shopping with assistance of a consultant when needed, and it offers a chance for an individual, unattended purchase with the use of an application for those who avoid direct contact with other people in the time of pandemic and want to choose the product by themselves. Such a system is an option between the traditional form of stationary retailing and online shopping. Originality/Value: The proposed solutions are to contribute to the development of organic food market and marketing in the studied area.

Substitution between production factors and intermediate inputs in the light of KLEMS growth accounting for Poland

The generally adopted view is that the gross-output-based MFP is the most correct in terms of methodology, and the value-added-based MFP is its imperfect substitute performed when some data are missing. In this paper, however, performing both of them and comparing their results is proposed as a valuable means to studying the development of outsourcing in the economy. The paper presents the elaboration of the methodology for the latter, which is its main contribution to the field. The case of the Polish economy is used as an applicative example (covering the period between 2005 and 2016), as KLEMS growth accounting has recently been implemented in Poland. The results demonstrate that around the year 2011, the expansion of outsourcing ceased. Since outsourcing was one of the main processes of the Polish transition, this observation can be considered as an indication of the maturing of the market economy in Poland. Moreover, KLEMS growth accounting makes it possible to study this issue through NACE activities, i.e. at the industry level. It shows that manufacturing (section C of NACE) is predominantly responsible for the situation described above, which is the main empirical finding of the study. The dominant role of manufacturing is also confirmed by some other sectoral observations of lesser importance. The methodology developed in this paper can potentially be applied to other countries for which both kinds of MFP are performed.