The cost of payment backlogs is not limited to the cost of maintaining the liquidity of the company. In addition to the interest on bank loans, one should also take into account all the additional costs associated with the monitoring of payments from contractors, chasing late payments, and growing risks caused by the delays.
Possibility to set statutory VAT rate below 15% for a wider set of different goods and services may lead to lower effective VAT rates in various Member States. Therefore, countries, which have fewer exemptions and/or reduced rates, may maintain the same principles of taxation but lower their standard VAT rate.
In a way, digitization is old hat. E-mails turned 45 on September 30, 2016. In 1997, 4.1m Germans were online; today the figure is 58m. Growing up in today’s world, it is impossible to imagine being without a smartphone. But not having a landline phone or not owning a car? No problem.
Unfortunately, in 2016, the populist Law and Justice government decided to reverse the reform – the pseudo-economic rationale was the infamous lump of labor fallacy. They wrongly claimed that lowering the retirement age would be a perfect tool to fight youth unemployment – retiring seniors would (in their opinion) leave their jobs for young Poles.
The extremely low, 10%-level of female MPs in the Hungarian parliament, and the lack of inequality issues in the political agenda makes it quite relevant to try better know and understand the problems concerning men and women in Hungary as perceived by the voters and the possible social-demographic factors behind them.
Most economists and politicians agree that investment subsidies break market principles. However, many consider subsidies a necessary tool in the global competition for investors and as an economic growth booster. INESS analyzed the investment subsidies granted in Slovakia during the years 2002–2016.
According to a recent study conducted by the European Parliament, Bulgaria loses between 14 and 22 percent of its GDP every year due to corruption practices.The main question is therefore why there are no results in the fight against corruption in the country?
State-owned enterprises (SOEs) are a very important part of the Bulgarian economy. Their revenue in 2015 equals 13% of GDP, but even that number underestimates their economic impact. The data show that the financial position of SOEs as a whole has remained bad in recent years.
49% of Ukrainian SMEs said they were inspected by a government body in 2015. These inspections took up to 14 days per year for a business on average, which means that businesses spent around 2 weeks of their operation time on dealing with the officials.
Year 2016 in Ukraine became a year of starting on the economic recovery path. Real GDP growth in 2016 is estimated at 1.4%. It was supported by higher domestic demand. In particular, real private final consumption increased due to higher disposable income primarily attributed to increase in wage income.