How to Compute the Liquidity Cost in the Orders-Driven Market?

The paper proposes a new method based on stochastic processes theory in order to analyze the equilibrium on the financial markets under asymmetrical information. The paper proposes an analytical formula for the liquidity cost in the orders-driven market taking into consideration the presence of the informed and uninformed investors on the market. This formula is obtained taking into the consideration the fact that an investor who places a limit order offers an option to the rest of the market which can be exercised against him.

SUSTENABLE DEVELOPMENT OF THE ROMANIAN ECONOMY BY ADOPTING THE CHINESE MODEL OF SPECIAL ECONOMIC ZONES

The architecture of the Chinese economy began to take shape in the late 1980's, because of the new reforms that the Chinese Communist Party started to take. With the death of Mao Zedong in 1976, the Chinese leadership is taken by Deng Xiaoping, who stated a blitz course in capitalism. The new president encouraged foreign direct investments by creating special economic zones near the costal cities, were foreign companies obtained several tax brakes and other incentives, only to invest in those regions. With the help of statistical data from WTO, IMF, and the World Bank, the current paper analyzes the impact of these special economic zones on the Chinese economy, raging from mutations in the labor market and economic sectors structure and their evolution in the formation of the GDP, FDI inflows, and last but not least external trade and current account situation. On the other hand, the paper tries to make a connection with Romania, computing and predicting, based on the Chinese figures, the way in which the Romanian economy, by creating four economic zones within the counties of Satu Mare, Bihor, Arad, and Constanţa, will be able to experience the same growth. The first three counties have been piked up based on their proximity to the Schengen area, and/or on their infrastructure, plain terrain, and a qualified and skilled labour force. Constanţa, the only one that resembles with its Chinese counterparts, has been considered because of its capabilities of shipping products right away as they are manufactured. The results would decrease the disparity that exists in revenue levels across Romania, Bucharest leading the group way ahead of the other counties. Foreign direct investments in those areas will attract more others made by the local authorities in the infrastructure (schools, universities, roads, airports, high speed railways). This development will have a direct impact on the current account of the Romania's balance sheet of payments, while its external trade deficit will reduce in time, even transforming in a trade surplus, and helping this way in putting an end to the chronically external debt.special economic zones, counties, external trade, economic impact, foreign direct investment

THE DANGER OF "PUTING ALL THE EGGS IN ONE BASKET". SOME CONCERNS REGARDING ROMANIA'S EXTERNAL TRADE

Trade patterns across the globe vary in certain ways. For the EU27, the analyzed data suggests that approximately 70% of all Romania's imports, and the same amount of its exports, are intra-community oriented. The question that arises is what will happen to te Romania's external trade, if a crisis hits Europe? If countries like Germany, France, Italy, and United Kingdom are hit the hardest in this hypothetical European crisis, Romania will soon follow them. In order to decrease the impact of such possibility, it is necessary to tap new trade opportunities. For this purpose, first we have to analyze the present situation. Based on Eurostat, World Trade Organization, and the Romanian Statistics Institute data from 1999 to 2009, and on the works about trade creation (Balassa 1965, Jovanovic 2005, Molle 2006), the paper wants to point out the aspects of trade concentration in certain regions after the establishment of free trade agreements, and the danger posed by financial crises. This paper analyzes first the situation in the EU27, scanning each member state in order to see the degree of trade relations intra / extra - EU. The data will be than compared to another set of analyzes of other four important regions, the Andean Community, ASEAN, MERCOSUR, and NAFTA, whose free trade agreements could support such of comparison with the EU trade relations. The paper follows the assumption that EU27 has the most integrated trade relations among all the analyzed regions. Based on this assumption and on statistical data that points out the percentage change of total imports and exports in the Romanian GDP, some conclusions will be drown out in order to establish some necessary measures to prevent a future crisis, measures that involve the political class, taping new trade opportunities such as Latin American countries, Middle Eastern countries, and South-East Asia, but not forgetting Russia, Romania's former main export partner, establishing clear objectives to future embassy personnel, and a more aggressive advertising campaign in the selected target markets conducted by national agencies.free trade agreements, custom union, Romania's trade relations, imports, exports

The Eurosystem, the Federal Reserve and the Bank of Japan. Contrasted study

The central bank is the highest monetary authority within each monetary system. This is why the concern for the responsibilities, objectives and functions of central banks is present in the general economy field, as well as in those of finance, currency or financial exchange relations. Therefore, a contrasted analysis between the Eurosystem, the Federal Reserve and the Bank of Japan is of general interest for the users. The paper presents a comparison between the three systems. The status and objective differences are presented with a reference to the historical circumstances that have generated national characteristics. In the past years, due to the fact that all the three authorities have made directional changes towards independence and transparency, and because the economies of these areas are mainly convergent, a diminution of the differences between the three monetary authorities can be observed.Central bank, Monetary policy, Monetary policy committees,Transparency, Independence

Proton-neutron pairing in N=Z nuclei: quartetting versus pair condensation

The isoscalar proton-neutron pairing and isovector pairing, including both isovector proton-neutron pairing and like-particle pairing, are treated in a formalism which conserves exactly the particle number and the isospin. The formalism is designed for self-conjugate (N=Z) systems of nucleons moving in axially deformed mean fields and interacting through the most general isovector and isoscalar pairing interactions. The ground state of these systems is described by a superposition of two types of condensates, i.e., condensates of isovector quartets, built by two isovector pairs coupled to the total isospin T=0, and condensates of isoscalar proton-neutron pairs. The comparison with the exact solutions of realistic isovector-isoscalar pairing Hamiltonians shows that this ansatz for the ground state is able to describe with high precision the pairing correlation energies. It is also shown that, at variance with the majority of Hartree-Fock-Bogoliubov calculations, in the present formalism the isovector and isoscalar pairing correlations coexist for any pairing interactions. The competition between the isovector and isoscalar proton-neutron pairing correlations is studied for N=Z nuclei with the valence nucleons moving in the $sd$ and $pf$ shells and in the major shell above $^{100}$Sn. We find that in these nuclei the isovector pairing prevail over the isoscalar pairing, especially for heavier nuclei. However, the isoscalar proton-neutron correlations are significant in all nuclei and they always coexist with the isovector pairing correlations.Comment: 12 pages, 1 figur

THE BALANCE OF PAYMENTS' SUSTAINABILITY AND THE EUROZONE ACCESSION CONVERGENCE CRITERIA

The main purpose of the balance of payments (BoP) is identified as representing the long term need of equilibrium and stability of the international payments and revenues. The purpose of this paper is to determine the factors that influence the balance of payments of a certain country, by using a rigorous classification that reveals the complexity of these factors. Our conclusions are very relevant, especially for countries like Romania, because, in order to achieve the external equilibrium, it seems that every county must adopt a mix of internal economic policies, and although theoretically this can be realised, sometimes in practice it can prove to be impossible on account of inability or refusing to combine the appropriate economic policies.balance of payments, sustainability, Euro area, convergence criteria, foreign direct investments, portfolio investments, external operations

Project oriented university – an emerging concept

The purpose of this article is to introduce a brand new concept, that of the project-oriented university, as a university that explicitly uses projects and programmes to perform processes of medium to high complexity, thus allowing it to better handle the increasing turbulence and dynamics of its environments. An analytical grid for assessing the maturity of a university in terms of its project orientation is offered, taking into account both hard and soft factors. The National School for Political Sciences and Public Administration from Bucharest is analysed in this perspective, the assessment being the basis for explaining the paradox of having projects, but no project management. The findings are considered representative for the Romanian higher education system as a whole, with due nuances and exceptions.project maturity, competitive advantage, university, organizational strategy.