Growing apart? A tale of two republics: Estonia and Georgia

Abstract

Standard-Nutzungsbedingungen:Die Dokumente auf EconStor dürfen zu eigenen wissenschaftlichen Zwecken und zum Privatgebrauch gespeichert und kopiert werden.Sie dürfen die Dokumente nicht für öffentliche oder kommerzielle Zwecke vervielfältigen, öffentlich ausstellen, öffentlich zugänglich machen, vertreiben oder anderweitig nutzen.Sofern die Verfasser die Dokumente unter Open-Content-Lizenzen (insbesondere CC-Lizenzen) zur Verfügung gestellt haben sollten, gelten abweichend von diesen Nutzungsbedingungen die in der dort genannten Lizenz gewährten Nutzungsrechte. We compare and contrast the economic growth performance of Estonia and Georgia since the collapse of the Soviet Union in 1991 in an attempt to understand better the extent to which the growth differential between the two countries can be traced to increased efficiency in the use of capital and other resources (intensive growth) as opposed to brute accumulation of capital (extensive growth). We infer that advances in education at all levels, good governance, and institutional reforms have played a more significant role in raising economic output and efficiency in Estonia than in Georgia which remains marred by various problems related to weak governance in the public and private spheres. Terms of use: Documents in EconStor mayJEL Code: O16.

‘It's good to live in Järva-Jaani but we can't stay here’: Youth and belonging in rural Estonia

“…The economy, foreign investments and trade grew rapidly (World Bank, 2008). Compared to the conditions in other post-socialist countries, Estonia has therefore often been characterized as a 'success story' (Panagiotou, 2001;Lauristin, 2003;Gylfason and Hochreiter, 2009). This success is further emphasized by Estonia's inclusion in the European Union in 2004 and the Euro zone in 2011 (European Commission, 2011).…”

Comparative Analysis of Trade Competitiveness between Bangladesh and Vietnam

“…Moreover, inter-governmental co-operation and negotiations accelerate international trade and growth. In this regard, Gylfason and Hochreiter (2009) showed a study where a comparison of the economic performance between the Republic of Estonia and Georgia since the collapse of 1991. Most of the findings showed that smart governance, institutional reforms, and enhancements within the instructional system play an important role in raising output.…”

Modeling Institutions, Start-Ups and Productivity during Transition

“…To some extent, the enabling business environment reflected close proximity to the EU markets and strong incentives of the EU accession that country benefited from. 20 As Gylfason and Hochreiter (2009) write, for Estonia "…the prospect of rapid EU integration, the EU perspective, provided a critical anchor for sustained political, institutional, and economic reforms across the political spectrum. "…”