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Journal number 4 ∘ Giorgi Gaganidze

Formation and Operation of Export Strategies Based on Modern Industrial Policy

      The topic of the present article discusses the author's research object for the nearly last two decades. Thus, this publication is a compilation of the author's old and new research activities. The article observes the formation of export strategies and their relationship with modern industrial policy. Over the years, Georgia's trade deficit has been a serious problem for economic growth. The fundamental research "The main directions of improving the foreign trade balance of Georgia" performed at the Faculty of Economics and Business of Ivane Javakhishvili Tbilisi State University was dedicated to the study of the above mentioned problem.       Export strategies are a well-studied field both theoretically and practically, however, the dynamism caused by the globalization of the economy constantly requires adjustments.       Both the market and the specific form and time of entering the market are important in the
Journal number 4 ∘ Elguja Mekvabishvili

Antiglobalizm or Alterglobalizm?

Globalization is an objective process of world economic development. Its beginning was causedby the impact of the scientific-technological revolution on all aspects of public life and especially on the economic system. The globalization of the economy dates back to the 90s of the last century. This process had some delays, most notably the global financial crisis of 2007-2009 and the global crisis caused by the Covid 19 pandemic.      The globalization of economics has been viewed by many scholars in a predominantly positive light. They believed that globalization: Provided significant acceleration of world economic growth; Mitigation of the functioning of the capital economic system on a cyclical nature; Reducing economic and social inequality between countries.     The analysis of the period since the beginning of globalization shows that none of these tasks could be solved. On the contrary, the globalization of the economy has worsened som
Journal number 4 ∘ Tea KhorguashviliNatia Khorguashvili

The Main Challenges of the State Budget Spending Policy in the Pandemic and Post-Pandemic Periods

In the post-pandemic period, which was accompanied by the war in Ukraine and continues to this day, which affects the world population, Georgia is no exception. Georgia's economy is in a more or less good condition; we have economic growth, export growth, trade balance is slightly but still improving, but the growing inflation is preventing all this from reflecting positively on the social background of the population. In light of this, the government should ensure the use of appropriate tools and direct the expenditure policy to the correct determination of priorities; In order to evaluate transparent and effective spending from the state budget, it is necessary to reflect the expected results and indicators of the programs defined by the budget in the main part of the state budget law; Fiscal discipline, which in turn includes the implementation of fiscal indicators planned by the government in the short-term and long-term. Reasonable, timely and responsible decisions are the basis f
Journal number 4 ∘ Davit NarmaniaNino Zurashvili

Economic Strategy of the Developed Countries of the World during the Covid-19 Pandemic

The outbreak caused by Covid-19 had dreadful results even in the first quarter in many countries in the world. To avoid the spreading of the virus, the world’s developed countries’ governments made the decision to lock almost every kind of industry, which were functioning in their countries. The mass lockdown of businesses all around the world was the reason for the economic crisis. For relief and support businesses, the world’s developed countries’ governments made the decision to create business support programs. The main goal of the formulated programs was to maintain jobs and give an opportunity to small and middle businesses to continue functioning. Programs also were aimed to help employees who lost their jobs. The program formulated by the Canadian government turned out very effective. The main economists of the country have used all the tools owned by their hands to avoid declining of the economy of their country. Their aim was to maintain the economy to
Journal number 4 ∘ Teimuraz ShengeliaTinatin JorJolianiKhatuna Berishvili

Identify Cultural Values and Impact on the Economic Progress of Society

In the scientific researches that study the influence of the prevailing models of behavior and value orientation on the economic life, the presence of a direct connection between these two phenomena has been established. Scientific approaches in this direction go even further, and it is now obvious that as the relationship between values and economic success has been established, it is of vital importance to identify patterns of behavior and cultural elements that can accelerate the economic progress of the society. Thus, it is crucial to study and apply the behavioral models that promote the economic well-being. One way to accomplish this is to identify the cultural values of economically developed societies and to incorporate these cultural archetypes into the developing society to accelerate its economic progress.Creating and employing a universal list of cultural elements based on the utility of social modeling enables the growth of the economic potential of the society, the possib
Journal number 4 ∘ Simon GelashviliMariam Okruashvili

Gender Inequality in Labor Remuneration and Its Impact on the Economy of Georgia

Gender equality is not only human’s moral and juridical right, but it is also a significant indicator for economical progress. Moreover, it is the aim for sustainability. It is very important to use human capital rationally for the global economy outlook. As indicated above, these means maintaining a minimal level of gender inequality on the labor market. The aim of this article is complex statistical analysis of the gender pay gap and evaluating its influence on Georgian economic status. Statistical grouping, relative and average variables, variation and correlation analysis methods were used in the research process. Also, appropriate aggregates were calculated by the computer statistical program SPSS. This article discusses mostly quantitative analysis of the gender pay gap. It is important to note, that hourly adjusted gender pay gap, which was 15.9% in 2020, is significantly behind the monthly salary gap (21.4%). Definitely, it is conditioned by the shortage of female working
Journal number 4 ∘ Davit BasiashviliSlava fetelava

Spatial Regional Aspects of Economic Problems

The policy of economic and social equalization (Cohesion) of the regions of the European Union is aimed at overcoming the disparity of development between the regions of Europe. The nomenclature of territorial units of statistics (NUTS) is used to assess EU policy as a common socio-economic statistical data system, as well as a tool for monitoring and evaluating the effectiveness and efficiency of this policy. The main objective of the NUTS classification is to create a system for collecting and publishing standardized statistical information that can be used for both analysis and policy implementationToday's "regions" of Georgia have neither legal nor historical predecessors, the only thing this division is based on is the feeling of "corner" belonging. Such a statistical division is fundamentally different from the European Union NUTS classification. According to the proposed scenario of division into NUTS regions (the starting point would be that Georgia fully corresponds to a NUTS
Journal number 4 ∘ Nazira Kakulia

Indices of Sustainable Development and Georgia

As part of the study, the role of fiscal policy - as spending on environmental protection - in the process of forming a "green economy" was studied. This study analyzes certain issues of environmental sustainability of the country's economic development. Indices such as the Green Growth Index developed by the Global Green Growth Institute (GGGI) and the Global Green Economy Index (GGEI) which measures the current green state of a country's economy and the degree of economic policy direction moving it towards green. this is the third index, which is also used to analyze and assess the current situation at the global level. This index is compiled by Yale University and quantifies the state of a state's environment as achieved by the given policy. An important tendency to study the discussed indices is the difference between developed and developing countries in terms of the formation of a “green economy”. The main reason for this difference in developed countries, high requir
Journal number 4 ∘ Mzia SheliaMirian Tukhashvili

Population Aging in Kakheti Region

For the last fifty years, Georgia has already been a demographically aged country. Its diverse natural geographical landscape and ethnic and religious diversity considerably determine the regional specifics of the country's demographic and economic development. Therefore, an in-depth study of the changes in the population of an individual region of Georgia is a necessary prerequisite for the rational functioning of the regional labour market. During the research, the information base provided by the National Statistics Office of Georgia was used for the analysis, both through general population censuses and current registration of population. The region of Kakheti was selected as the research area. This was caused by the following circumstances: a) Kakheti region is an important agricultural region of Georgia. It has landscape and climatic contrasts. The sectoral structure of the economy is less diversified, which creates acute problems in the use of the labour potential.b) Kakheti bor
Journal number 4 ∘ Tea Lazarashvili

Fighting Poverty: World Experience and Georgia

Fighting poverty has become one of the priority tasks for most countries of the modern world. In recent years, financial fluctuations have been observed in many countries of the world, which negatively affects their sustainable development and, accordingly, the standard of living. The World Bank has set a goal of ending poverty worldwide by 2030. Due to the consequences of the pandemic, the fight against poverty is becoming an even more acute problem for the whole world. In this regard, Georgia is no exception. The problem of poverty is one of the first here, and the state will have to make great efforts to overcome it.In order to better analyze the problem of poverty, it is important to consider the experience of different countries in this regard. It should be noted that the concept of poverty is different, especially for developed and developing countries, and the methods of fighting it are also different depending on the country's level of development, traditions, mentality, econom
Journal number 4 ∘ Ioseb Khelashvili

Current Challenges of the Tourism Sustainable Development in Georgia

The global lockdown caused by the COVID-19 pandemic (hereinafter referred to as the “Pandemic”) and the followed sanctions (hereinafter referred to as the “Sanctions”) adopted in response to outbreak of war in the Ukraine have caused significant damage to the global economy and created stressful economical environment. The developed processes are directly and indirectly related to the tourism complex sector, being distinguished by wide interdisciplinary economic links. The economy of Georgia, which significantly depends on the tourism industry, turned out to be under the influence of the both global Pandemic crisis and the war between the Ukraine and Russia. Studying the created and current processes has become urgent from both the practical and scientific point of view. The specific goal of this study is to reveal the key challenges of sustainable development of foreign tourism as an important economic sector in Georgia, where the focus is put on the macroecono
Journal number 4 ∘ Iuri Ananiashvili

Estimation of the Market Model under Conditions of Limited Information

To characterize any standard market, generally, we need a model consisting of at least two equations, one of which describes the pattern of demand for the relevant goods or resources, Q^D, and the other the pattern of supply, Q^S. In the simplest case, when all the factors, except price, affecting demand and supply are fixed, and the market is standard, we have the following version of the model:Q^D=D(P), Q^S=S(P), D^' (P)<0, S^' (P)>0 ,where D(P) and S(P) functions of demand and supply depend on price. When the specific type of these functions is known, it is easy to determine the equilibrium point of the market (if it exists) using the following equation: D(P)=S(P).As a rule, in most cases, specific types of D(P) and S(P) functions are unknown, and we have to resort to econometric modeling to estimate them. To accomplish this, we must 1) transform the above-mentioned system into a model comprising of regression equations and 2) obtain Q_i^D, Q_i^S, P_i, i=1,2,⋯,n, data for th
Journal number 4 ∘ Miron Tugushi

From the Law "On Employment" to the Law "On Employment Promotion".

Effective management/regulation of employment and unemployment has always been, is and will continue to be a significant problem for any country in future. We should note here that it is impossible to solve it once and forever, it requires constant efforts from the country's authorities. In 2014-2022, the unemployment index in Georgia decreased to 18.1%, but it is still very high. It should also be taken into account that according to experts estimation, the actual level of unemployment is much higher than the official level (at least in 2-2.5 times), therefore, it can be said that the current situation in the country in this regard is not alarming, but at least close to it. Effective management/regulation of employment and unemployment, in many directions, requires joint efforts of all branches of government, one of such directions is the perfection of the legislative framework of employment and unemployment. A special role in the management/regulation of employment and unemployment i
Journal number 4 ∘ Nana Sreseli Rusudan Sreseili

Current Issues in Cryptocurrency Accounting and Reporting

„The money you have is the weapon of freedom. The money you pursue is an instrument of slavery.“ Jean-Jacques Rousseau The development of digital technologies has introduced "virtual assets" (VA) into circulation. The first virtual asset is a cryptocurrency - bitcoin, which is a means of decentralized payments through alternative channels. Cryptocurrency payments have created significant problems. in particular. In practice, there are different and inconsistent approaches related to accounting and reporting of cryptocurrencies; Our goal is to assess the current situation based on an analysis of theoretical and practical issues of accounting and reporting of cryptocurrencies. Accounting of this segment is in the initial stage of formation and development, so research is less based on practical accounting data. Thus, the study covered mainly the materials presented in the literature, and due to the lack of empirical data, relatively less - the subject of the study. The stud
Journal number 4 ∘ Kakha Kupatadze

Opportunities and Perspectives for Improving Tax Administration in Georgia

Tax administration is one of the main directions of developing a tax system of the country. Many scientific works are devoted to studying this issue, but in spite of this studying the opportunities for improving tax administration still retains topicality at this moment. Analyzing modern tax administration practice has shown that cases of purposeful tax law violation are frequent, accordingly while dealing with tax payers the tax authorities should lay special emphasis on the prevention of hiding taxes that will definitely condition the rise of culture of paying taxes by tax payers. In order to improve the tax administration in Georgia, it is necessary to improve and develop the system of tax privileges in tax legislation, to assess tax violations and relevant liability measures in the tax legislation of the country and make correspondent amendments, as well as to normalize the intensity of adopting taxation regulating acts. As a result of carrying out the abovementioned activities in
Journal number 4 ∘ Paata KoguashviliElguja Mekvabishvili

A fundamental Work about Humanization of Modern Economics

About prof. Giorgi Malashkhia's book "Hatred of capitalism and socialism." Global Metamorphoses and the Future of mankind Humanism". Palmarium Academic Publishing (in Russian, pg. 886) Prof. Giorgi Malashkhia is a well-known author of several economic, philosophic, and sociologic publicist works as well as literary compositions. They cover the most crucial issues facing mankind. This time he puts himself forward as the author of the new fundamental work that addresses these topics. It is worth mentioning that prof. Giorgi Malashkhia applies for analysis a specific methodology that views events and discusses them in the context of universal values, morality and justice. The author at the same time uses an anthropocentric perspective in his research, discussing social events from the perspective of a person's needs and limitations, as well as an axiomatic, value-based view of events and a eudemonistic perspective, which is to assess people's lives from the perspective of happiness. He al