government

Investments with public capital, the public debt and influence on the money market

The budget programs for 2023, in their limitation related to the high public debt, as it appears at the beginning of the second 6 months 2023 (64.78% of GDP), despite the mitigating effects with at least 4% in decrease from...

Reorganization or transformation of governing cabinets: What does the people and the economy gain, in the end?

A Cabinet reorganization is when government ministers are moved between ministerial posts. There can be minor changes, such as if a minister resigns and needs to be replaced. In the case of the changes of the governing cabinet at the beginning...

Politicians in capitalism, citizens in socialism

In a capitalist economy, the government acts as a regulatory and supplementary body. Whereas, in a socialist economy, the government plays a comprehensive role in all economic activities, such as production, distribution and consumption of a country. These are responsibilities...

Wage increase bill, confidence, and economic security for the people

In the Eurozone, the government wage bill accounts for almost a quarter of total government expenditure and about 10% of GDP, so it is important from a macroeconomic point of view[1]. In Albania, the government wage bill...

Public wage increase, budget resources and big government

Adequate tax revenues are necessary to guarantee the continuation of the country's reformation, but also to meet the growing social costs. Taxes and taxes should, more than before, enable public authorities to actively contribute to the pursuit of economic, social,...

Restoring market stability and maintain financial stability, but…

When there is a shock to the market accompanied by an increase in the costs of financing it, add the moment when inflation is high, then the tension between the objective of low inflation of the Central Bank and price...

The cost of budget and business from salary increases inflation and side effects for the labor market

At the end of March 2022, after the meeting of the Council of Ministers, in a statement to the media, Prime Minister Edi Rama announced the national plan for increasing average and above average salaries for the public administration and...

Reframing of policies to prevent financial bubbles in the economy

Housing prices around the world have experienced an uninterrupted boom because of the global financial crisis [1]. However, the extent of the housing boom shows considerable variation across countries. In Albania over the last 12 years (2010 – 2022),...

Higher minimum wage limiting the increase in labor costs for employers

The legal minimum wage level has over the years been used as the most direct policy instrument of governments to influence wage levels at the bottom of the distribution mechanism. But even though minimum wages are considered as a policy action...

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