Gitana Dudzevičiūtė

Structural changes of economies: Lithuania in the global context

AbstractStructural economic change theory focuses on the process through which economic structures have been transformed from traditional agriculture economy to more modern and industrially diverse manufacturing and service ones. The purpose of this paper is to detect the pattern of structural changes of the Lithuanian economy and to evaluate it in the global context. Structural economic statistics of the countries provide a view of a particular year delivered by indicator of the level of output in a considered sector of selected country’s economy. Research methodology is based on the classic three-sector model, which involves structural changes’ assessment methods and comparative analysis of statistical data on economic structures. The main findings reveal peculiarities of the structural change tendencies of the Lithuanian economy in the global context. First of all, the economies of selected countries are being analyzed from the point of view of three-sectoral divisions, such as agriculture, industry an...

Accession to the European Union: Impact of Legislation Change on Performance of Lithuanian Companies

The paper focuses on implications of the EU accession for competitiveness of New Member States, and specifically, Lithuania. Basing on a case study analysis of internationally trading Lithuanian company, effects on its performance, caused by European trade regulation, are being revealed. Authors raise a question whether the EU accession facilitated international trade for newcomers, and if not, what reasons conditioned unfavourable effects. Subjective and objective factors impacting business activity in the after-transition years are being considered.

Frequency domain analysis of consumer confidence, industrial production and retail sales for selected european countries

This paper examines the relationship between consumer confidence, economic growth and retail sales for selected countries employing frequency domain analysis. Our methodology includes the causality test developed by Breitung and Candelon (2006) which improves the methodology of Geweke (1982) and Hosoya (1991). We focus on the causality tests across frequency bands as well as the usual Granger causality tests. Especially for the emerging countries the causality goes from the economic growth to consumer confidence but not vice versa. This argument basically supports the findings of Gunes and Uzun (2010) as well as Balkytė and Tvaronavicienė (2010), which claim that in emerging countries consumers are not able to trigger the economic growth with their confidence due to their subsistence level of income. Besides, causality from consumer confidence to retail sales, which is a proxy for the consumer expenditures, is detected. As in Basdas and Celik (2010), we also obtain significant differences whenever the frequency domain causality tests are employed instead of usual Granger causality tests in time domain.

EXPORT, ENERGY CONSUMPTION AND ECONOMIC GROWTH INTER-LINKAGES: THE CASE OF LITHUANIA

Abstract This paper has aimed to examine the causal relationships between energy consumption – economic growth, export – energy consumption and export – economic growth in Lithuania during the period of 1998 – 2015. Descriptive statistics analysis and econometric techniques have been applied for this purpose. Granger causality test has been used to a time series data set to determine the causality between variables. The results of Granger causality test have shown unidirectional causality running from GDP to energy consumption, from export to GDP and from export to energy consumption. It is obvious that GDP and export play significant roles in accelerating energy consumption in Lithuania. The determination of the causal links between energy consumption – economic growth, export – economic growth and energy consumption – export has provided policy makers with the main insights to formulate future policy directions for sustainable economic development in Lithuania.

Government expenditure and economic growth in the European Union countries

Purpose - The purpose of this paper is to provide more reliable estimates of the relationship between government spending and economic growth in the European Union (EU) during the period of 1995-2015. Design/methodology/approach - The methodology consisted of several different stages. In the first stage for an assessment of dynamics of government spending and economic growth indicators over two decades, descriptive statistics analysis was employed. Correlation analysis helped to identify the relationships between government expenditures (GEs) and economic growth. In the third stage, for modeling the relationship and the estimation of causality between GE and economic growth, Granger causality testing was applied. Findings - The research indicated that eight EU countries have a significant relationship between government spending and economic growth. Research limitations/implications - This study has been bounded by general GE and economic growth only. The breakdowns of general GE on the basis of the activities they support have not been considered in this paper, which is the main limitation of the research. Despite the limitation, it might be maintained that the research highlights key relationships in the EU countries. Originality/value - These insights might be useful for policy makers. In countries with unidirectional causality running from GE to economic growth, the government can employ expenditure as a factor for growth. The governments should ensure that resources are properly managed and efficiently allocated to accelerate economic growth in the countries with unidirectional causality from GDP to GE.

The Impact of a Banking Sector on Economic Growth: Theoretical and Practical Aspects

The article the Impact of a Banking Sector on Economic Growth: Theoretical and Practical Aspects” provides a theoretical survey of the possible effects of a banking sector on economic growth, which includes a brief theoretical analysis of the role and functions of financial intermediaries in the economy and the empirical analysis of the effects of a banking sector on economic growth. Refering to the statistical regression models, the most influential factors of a banking sector to the economic growth have been highlighted, their impact is evaluated and economic interpretation of traced relationships presented.