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1. The Granular Trade and Production Activities (GRANTPA) Database

Author:
Sebastien Bradley, Javier Flórez Mendoza, Mario Larch, and Yoto V. Yotov
Publication Date:
06-2024
Content Type:
Working Paper
Institution:
The Vienna Institute for International Economic Studies (WIIW)
Abstract:
This paper introduces the Granular Trade and Production Activities (GRANTPA) database, which covers international trade flows for 3,124 products and 247 countries over the period 1995-2019 as well as domestic trade flows and production data for the same number of products and years for a subset of 35 European economies. The original data sources that we employ are Eurostat’s Comext and Prodcom databases. A gravity application delivers a large set of product-level ‘home bias’ estimates, which cannot be obtained without domestic trade flows. The average estimates on the standard gravity variables in our model (e.g., distance) are comparable to those from the related literature. However, our disaggregated estimates are very heterogeneous across products, thus highlighting the importance of our new database.
Topic:
International Trade and Finance, European Union, Trade, Production, Gravity Data, Structural Gravity, Home Bias Estimates, and Disaggregated Gravity Estimates
Political Geography:
United Kingdom, Europe, Turkey, Norway, Serbia, Iceland, Montenegro, and North Macedonia

2. Undoing a Hybrid Regime: What Lessons Can Be Extracted from the Case of North Macedonia?

Author:
Nazif Mandaci
Publication Date:
12-2024
Content Type:
Journal Article
Journal:
Uluslararasi Iliskiler
Institution:
International Relations Council of Turkey (UİK-IRCT)
Abstract:
This study primarily aims to draw attention to the role of the European Union (EU) and the United States (US) in North Macedonia’s1 transition from a hybrid regime to a standard democracy from 2015 to the present. The stability of the country has been of paramount importance for the Western interests, thus the EU and US have continuously supported successive governments to uphold the de-facto powersharing system that prevailed since its independence in the early 1990s. By employing Levitsky and Way’s theoretical framework of linkage and leverage, this study aims to elucidate the decisive roles played by the EU and the US in cultivating the conditions necessitated for North Macedonia’s gradual democratic transition after 2015. To do this it addresses political developments in North Macedonia, discusses the problems that aroused during this transition period, which are inherited in a lack of democratic culture and widespread corruption, and finally, suggests that as the Macedonia example demonstrated, EU support and tutelage is critical during such challenging transitions.
Topic:
Foreign Policy, Corruption, Democratization, European Union, and Hybrid Regime
Political Geography:
Europe, United States of America, North Macedonia, and Western Balkans

3. CEFTA: Trade and Growth Patterns Fifteen Years since Establishment

Author:
Nina Vujanović
Publication Date:
04-2023
Content Type:
Special Report
Institution:
The Vienna Institute for International Economic Studies (WIIW)
Abstract:
This research report investigates the trade and growth benefits of the CEFTA agreement for its members. Although the countries have not reached their end goal of membership of the European Union, the report shows that CEFTA has supported their economic growth. However, there is trade heterogeneity in terms of the extent to which individual countries use CEFTA value added in their manufacturing exports. Less-developed economies seem to rely more on regional (CEFTA) supply chains, while manufacturing-based economies are increasingly coming to rely on EU supply chains. The countries have not built a strong export advantage abroad, as very little of their value added is used in EU exports.
Topic:
European Union, Economic Growth, Trade, Supply Chains, and CEFTA
Political Geography:
Moldova, Eastern Europe, Kosovo, Serbia, Balkans, Albania, Montenegro, Bosnia and Herzegovina, and North Macedonia

4. PUBLIC EXPENDITURE ON EDUCATION AND ECONOMIC GROWTH: EVIDENCE FROM NORTH MACEDONIA

Author:
Katerina Shapkova Kocevska
Publication Date:
03-2023
Content Type:
Journal Article
Journal:
Journal of Liberty and International Affairs
Institution:
Institute for Research and European Studies (IRES)
Abstract:
In this paper, we studied the impact of public education expenditure on GDP per capita in North Macedonia from 1991 to 2020. The main questions we examined were: 1) What is the relationship between public education expenditure and GDP per capita in the country in the short run?; 2) Does a long-term relationship between the aforementioned variables exist?; and 3) What are the policy implications? This research was based on the Auto-Regressive Distributed Lag (ARDL) model, originally developed by Pesaran et al. (2001). The empirical estimations produced interesting findings. In the short run, the relationship between public spending on education and GDP per capita in North Macedonia was negative and statistically significant. The long-term relationship between the variables remained negative but statistically insignificant. These results were robust and consistent with results from earlier empirical studies. The results suggested that government expenditures on education did not contribute to economic growth in North Macedonia in the analyzed period, ceteris paribus. From a public policy standpoint, we concluded that intervention in the education system's financing is necessary to facilitate the transformation of education expenditures into productive human capital and enhance the nation's economic development.
Topic:
Development, Education, Economic Growth, Human Capital, and Public Spending
Political Geography:
Eastern Europe and North Macedonia

5. EVALUATION OF THE PRINCIPLE OF TAX FAIRNESS IN THE TAX ON INCOME OF NATURAL PERSONS IN THE REPUBLIC OF NORTH MACEDONIA

Author:
Sejdefa Dzafche
Publication Date:
07-2023
Content Type:
Journal Article
Journal:
Journal of Liberty and International Affairs
Institution:
Institute for Research and European Studies (IRES)
Abstract:
The paper analyzed the development stages in the taxation of the income of natural persons in the Republic of North Macedonia through the prism of their compliance with the theoretical approaches in regulating the matter of income taxation. For this purpose, the initial stage of this research was the review of the impact of frequent amendments to the regulatory framework (relevant legislation) on the realization of the principles of vertical and horizontal justice. In the analysis of the normative-legal framework, the primary focus was the regulation’s influence on the realization of the principle of justice in taxation in the legal system of the Republic of North Macedonia (RNM). Additionally, the teleological method was used to identify the level of realization of the goals and functions of the RNM tax system. In that context, the effects of income taxation on the redistributive function were analyzed. The basic hypothesis from which the paper starts is that the frequent changes and modifications in income taxation concepts resulted in violating social-political principles in taxation. The research results indicate an inconsistency in the development of the system of income taxation of natural persons in RNM, which leads to a violation of the vertical and horizontal justice and the redistributive function of the income tax.
Topic:
Reform, Tax Systems, and Redistributive Function
Political Geography:
Eastern Europe and North Macedonia

6. Enabling Just Change in the International Health Care Governance

Author:
Srdan Hercigonja
Publication Date:
06-2023
Content Type:
Commentary and Analysis
Institution:
Belgrade Centre for Security Policy (BCSP)
Abstract:
This publication comes after months of research conducted by the Belgrade Centre for Security Policy, in collaboration with its partners in the Western Balkans region - Kosovar Centre for Security Studies (Prishtina), Centre for Security Studies (Sarajevo), Institute Alternative (Podgorica), Institute for Democracy and Mediation (Tirana) and Institute for Democracy “Societas Civilis” (Skopje). The first stage focused on desk research over the course of nine months. Extensive desk research followed, with semi-structured interviews with public health experts conducted in order to assess the pandemic management in each of the Western Balkan countries – North Macedonia, Montenegro, Serbia, Kosovo, Albania, and Bosnia and Herzegovina. The second stage of the research was focused on the reform of the global health governance system and structures. This part of the research implied semi-structured interviews and discussions with global health experts, as well as with experts in global governance. The baseline for the set of recommendations presented in this paper is that pandemics remain one of the most serious threats to human, national, and global security. Therefore, fundamental reforms of global health governance must be implemented in order for the global society to be better prepared for the next pandemic. Two external experts also contributed to this paper.
Topic:
Security, Health, Governance, and Crisis Management
Political Geography:
Europe, Kosovo, Serbia, Albania, Montenegro, Bosnia and Herzegovina, North Macedonia, and Western Balkans

7. The impact of COVID-19 pandemic on Turkish foreign policy towards the Western Balkans

Author:
Jan Niemiec
Publication Date:
12-2022
Content Type:
Journal Article
Journal:
Nowa Polityka Wschodnia
Institution:
Faculty of Political Science and International Studies, Nicolaus Copernicus University in Toruń
Abstract:
The scientific aim of this paper is to analyse and evaluate actions taken by Turkey’s leading politicians with regard to the Western Balkan states (i.e. Albania, Bosnia and Herzegovina, Kosovo, Montenegro, North Macedonia and Serbia) during the COVID-19 pandemic. Since the Justice and Development Party came to power in 2002, Turkey has attempted to increase its international influence through diplomatic, economic and cultural measures. Western Balkans region, with which Turks have historical and ethnic ties, is one of the key areas in AKP’s doctrine. Adopting image theory in international relations as the theoretical foundation, this research examines implementation of Turkish foreign policy in the Western Balkans in times of SARS-CoV-2 coronavirus pandemic. By employing available original Turkish sources (academic publications, public reports, press releases), the main objectives of Turkey’s political strategy towards the region have been determined. Detailed analysis of official statements and speeches of Turkish policy-makers was also fundamental for this study. In this context, the values and symbols to which the AKP government refers in its activities in the Western Balkans have been identified. Based on content analysis, comparative analysis and political discourse analysis, this research seeks to explain the rationale of Turkish actions in recent months. As a conclusion, future prospects for Turkey’s involvement in the Western Balkans have been presented and discussed.
Topic:
Foreign Policy, COVID-19, Policymaking, and Regional Diplomacy
Political Geography:
Turkey, Eastern Europe, Kosovo, Serbia, Balkans, Albania, Montenegro, Bosnia and Herzegovina, and North Macedonia

8. Finding Common Ground: Intercultural Dialogue Among Youth in North Macedonia

Publication Date:
03-2022
Content Type:
Video
Institution:
The Harriman Institute
Abstract:
Marija Krstevska will discuss her trajectory as a girl raised in a mono-ethnic environment to a young advocate for intercultural acceptance. She is the Secretary General of the Center for Intercultural Dialogue, a youth organization in Kumanovo, North Macedonia. Through that organization, she has created learning opportunities within non-formal education for diverse groups of learners, advocated for direct involvement in community decision-making, and supported youth participation through inclusive policies. She will discuss the importance of active citizenship, capacity building, and non-formal education in fostering intercultural dialogue among youth.
Topic:
Education, Culture, Youth, Activism, and Gender
Political Geography:
Europe and North Macedonia

9. ECONOMETRIC EVALUATION OF PUBLIC DEBT ON INFLATION: EVIDENCE FROM KOSOVO AND NORTH MACEDONIA

Author:
Ismail Mehmeti and Gazmeda Deda
Publication Date:
12-2022
Content Type:
Journal Article
Journal:
Journal of Liberty and International Affairs
Institution:
Institute for Research and European Studies (IRES)
Abstract:
The nexus between public debt and inflation has been continuously investigated, but after the pandemic, it has returned to the center of researchers' courtesy. Consequently, this research examines the influences of public debt, interest rates, trade openness, GDP growth, and foreign direct investments on inflation. The study employs secondary data from 2008 to 2021 and incorporates a mixed econometric technique such as the Ordinary Least Squares (OLS) and Arrellano-Bover/Blundell-Bond approach. The study's findings argue that public debt, interest rates, and trade openness significantly influence inflation, whereas GDP growth has a significantly negative impact. Because of the limited number of observations in the context of the research, we have not been able to evaluate the impact in the long term. The uniqueness and relevance of this research stem from its use of a combined approach, and in recent months, a continuous increase in inflation has been recorded throughout the world. The current findings and arguments inspire a productive discourse among academics, scholars, and policy-making entities.
Topic:
Inflation, Econometrics, and Public Debt
Political Geography:
Eastern Europe, Kosovo, and North Macedonia

10. Preventing and addressing violent extremism A conceptual framework

Author:
Maja Halilovic Pastuovic, Gillian Wylie, Karin Göldner-Ebenthal, Johanna-Maria Hulzer, and Veronique Dudouet
Publication Date:
02-2021
Content Type:
Special Report
Institution:
Berghof Foundation
Abstract:
This paper represents the theoretical framework behind the PAVE project that aims to tackle the issue of radicalisation by examining its root causes and driving factors. The project is based on a comparative assessment of local communities' vulnerability or resilience to violent extremism in seven countries: Bosnia and Herzegovina, Iraq, Kosovo, Lebanon, North Macedonia, Serbia and Tunisia.
Topic:
Violent Extremism, Violence, Local, and Countering Violent Extremism
Political Geography:
Africa, Iraq, Europe, Middle East, Kosovo, Serbia, Lebanon, Tunisia, Bosnia and Herzegovina, and North Macedonia