Human Capital and Export Decisions: The Case of Small and Medium Enterprises in Kosovo

Following the propositions of firm internationalization theories including the Melit’z dynamic model of export participation, this paper investigates the effects of human capital on the export decisions of Kosovo’s firms. Using a unique dataset of around 500 Small and Medium Enterprises, econometric estimates show mixed indications regarding the relationship between the propensity to export and longevity in export markets and human capital variables, measured by the education of the workforce, and investment in training. While education generally has a negative effect on exporting decisions, the latter shows a consistent positive effect. In the context of Kosovo, this dichotomy may reflect in part the effect of the underperforming education system in Kosovo, which does not produce the right level and/or mix of skills required by the private sector; this, in turn, forces SMEs to invest in increasing workforce capacities. Another explanation may indicate the lack of demand for a better skilled workforce, either because of associated high costs, or because a significant number of firms in Kosovo operate in low-value activities that do not require advanced skills and knowledge. Other factors that affect the decisions of firms to enter and serve export markets are found to be firm size, experience, growth, and adoption of quality standards

Free Trade and FDI in Kosovo: Prospects for Integration into the EU and Turkish Production Networks

Abstract. Kosovo has recently signed two major trade agreements, the SAA with the EU, andan FTA with Turkey. However, as the experience from developing countries shows, trade liberalisation is a precondition, but it does not ensure economic growth and prosperity, especially when the supply-side constraints limit country’s ability to reap the benefits of free trade. Violencein the nineties; years of underperforming post-war institutions; the neglect of policy reforms, especially poorly managed privatisation process; reduced greatly Kosovo’s industrial base and its manufacturing capacities. Moreover, these factors, coupled with problems with the rule of law, produced a high-risk environment that is deterring the inflow of foreign capital. Following the signing of the two agreements, one can expect that Kosovo will become more attractive tothe European and Turkish investors. In addition to other benefits, the flow of foreign capital may enable Kosovo’s industries to integrate intothe global value chains. However, as with free trade, the impact of FDI inflow and the integration into global value chains depend largely on domestic market conditions. This paper provides a discussion on the developments regarding trade liberalisation and FDI, and the opportunities the latter create on the integration of Kosovo’s industries into global production networks. In terms of policy directions, the paper argues that, although the trade liberalisation will act as a pull factor, the existingstructural impediments in Kosovo will mostlikely limit the flow of foreign capital and the impact of the existing FDI in Kosovo, specifically, integration into global value chains.Keywords. Trade liberalisation, FDI, GVC, Kosovo.JEL. F15, F23, F60

Modeling a Interworking WiMax LAN and MANET using OPNET Software

Recent research has been made for the convergence of WiMAX Networks (WiMAXN) and mobile ad hoc systems in order to achieve the MANET requirement for guaranteed 100 Mbps for heavy traffic convergence. The WiMN access point can be enhanced to either incorporate or supplant the transmission and packet data capabilities in the MANET. For this research OPNET Modeler has been used to design, implement, and test a network system level simulation environment to allow researcher to study the issues for interworking the infrastructure-based MANET technologies into WiMAXN systems. The specific contribution of this research was to augment the current OPNET model library using the standard MAC protocol will not incorporate the MANET, so by modifying the MAC PLC on MANET technologies and the Mobility protocol in WiMAXN the access to the network and reliability will increase

Physical-Chemical characteristics of the Substances Before and After the discharge of factories of the detergents that can cause increase of the degree of the eutrophication of surface waters in the city of Prizren

Industrial discharge waters, especially those of producers of detergents are one of the main polluters of surface waters in Prizren. The greatest polluters are: vehicle laundry and laundry of mega clothes, as well as factories producing liquid detergents, as well as powder ones. Concentration of active substances and perborate polyphosphate detergents also increase the wastewater from households. Therefore, we can say that the washing detergents, cleaning, are not safe for the environment, all of those are in varying degrees dangerous pollutants. Their presence represents the most acute problem of water supply in the city of Prizren. In this paper are treated physico-chemical indicators of pollution that may be caused by emissions from factories producing washing substances in the region of Prizren, Kosovo. And especially, will be treated contaminants from the manufacturing industry to washing agents, whose production due to massive use causes the polluting of current waters. This has happened because they have not paid attention to the chemical and physical- chemical features of phosphates and other compounds that affect eutrophication of Lumbardhi River. The problem of eutrophication also represents a form of disruption of the ecological balance of nature and consist with increasing phosphorus compounds in waters, where it causes the rapid development of the planktons and algae, causing damage to water quality. The Microbiologic problem of dissolution of tensids even at low concentrations causes creating dense and stable foam in waters surface, which prevents digestion of oxygen from the air into the water and thus the question of the survival of flora and fauna in those waters of the river Lumbardhi, as well as its use for drinks. This problem is caused by the wide use of detergents that contained tensids with branched range of hydrocarbons, which as the main representative is dodecyl benzene - sulfonate of tetramer type

Kosovo – EU trade relations: a dynamic panel poisson approach

To inform policy making following trade liberalisation between Kosovo and the EU within the framework of the Stabilisation and Association Agreement, we specify a gravity model to investigate Kosovo’s trade in goods with 28 EU countries, over the period 2005-2013. We reconcile competing methodological requirements by using a dynamic Poisson approach to estimation. Together, persistent trade patterns and an unfavourable combination of demand and supply elasticities suggest that trade liberalisation in isolation is not sufficient to promote exports but may need to be incorporated within a wider policy and institutional framework. In addition, our findings suggest that trade costs should be a particular focus for policy: distance has a big negative influence on Kosovo’s exports to EU countries; while diaspora communities promote Kosovo’s exports to EU markets, most likely because they offset trade costs

Dynamics of improvement of some physico-chemical parameters in Lumbardhi River of Prizren from urban water discharges for the year 2018 compared to the year 2017

The rapid growth of our city Prizren and urban problems, especially those of sewage, resulted in the pollution of the Lumbardhi River, since urban wastewater was not treated in advance until the year 2017, therefore in 2018 the collectors were built aimed at mitigating river pollution. Therefore, the purpose of the paper is to compare and evaluate some basic physico - chemical pollution indicators without treatment of urban waste water in 2017 with those treated with collectors of the year 2018. The physico - chemical parameters to be treated are: Content of Dissolved Solid Substances in Water (DSS) that limits the use of water for irrigation and industrial purposes, BOD5 level that is not suitable for the life of living things that require oxygen, Chemical Oxygen Demand (COD) that is a parameter which is used to measure the content of organic substances in urban and industrial water remains, and the total organic carbon (TOC). The monitoring points of the physical and chemical analyzes in our study in Lumbardhi are: Entrance to the city - Marashi (L1), City Center - Municipal Assembly (L2) and City Suburb - Vlashnje (L3)

Evaluation of physical - chemical contaminants in Lumbardhi River in Prizren for the period May - June 2017

This paper covers the monitoring of water pollution in the river basin from the source to the White Drin flow monitoring the river flow both in the rural and urban areas of water quality. The biggest problem in environmental protection is the quality of surface water. The results from the analysis of the study will serve to know the pollution from these physical-chemical parameters and at the same time to manage the eco-status in order to prevent negative trends and create a desirable balancing of so important the ecosystem as it is the system consist of Lumbardhi River, with biodiversity still maintained. The purpose of the work is to know the pollution of the Lumbardhi River during the period May-June 2017 as we think during that period of time there is a larger water flow due to the atmospheric rainfall and melting of the snowfall from the mountains because the river source is from an altitude of over 2500 meters and has an extension of 37 km to its discharge into the next river. On the other hand, based on the ecological condition and the physicochemical characteristics of the Lumbardhi River during time intervals, will serve as a starting point for integrating them into the management plans and if necessary for the programs, measures and environmental protection activities that should be undertaken to prevent our river pollution as we are dealing with a river that runs through the middle of our city and if clean, it would increase the beauty of our city with its landscape. So, the samples for analysis have been taken in four sample locations with different distances that are marked with L1, L2, L3, L4 and the same ones will be presented in our fig. The analyses are done at the hydro meteorological institute of Kosovo Pristina

KOSOVO-SERBIA DIALOGUE: FROM BRUSSELS TO OHRID

The EU-facilitated dialogue between Kosovo and Serbia, from its inception until today, has not realized the anticipated expectations and specified goals. Despite more than a decade of diverse engagement approaches by the involved parties, the situation remained precarious. The disputing parties persisted in their respective demands. Conversely, the facilitator/mediator primarily adhered to abstractly proclaimed declarations concerning integration perspectives rather than formulating instruments, measures, and strategies that could be imperative for a final settlement. The Russian aggression in Ukraine further complicated the dialogue, elevating the significance of geopolitics in the process. This paper aims to offer insights into the Kosovo-Serbia dialogue, emphasizing key factors and circumstances crucial for stability and the EU integration of the Balkans. The Franco-German proposal, recognized as an official EU document, holds particular importance. To achieve the paper’s objectives, the authors employed the methods of legal analysis, teleological analysis, description analysis, logical analysis, and comparative analysis

Privatization by Auction: Determinants of Asset Prices in Kosovo

The contribution of this paper is twofold. First, we use the administrative dataset of the Privatization Agency of Kosovo between 2003 and 2018 to analyze the factors affecting privatization prices. We identify the effects of five sets of variables: features of the auction process; Privatization Agency-related variables; buyer characteristics; asset characteristics; and election-related variables. Second, beyond this econometric investigation, we explore the complexities of the privatization process in Kosovo, in particular the Kosovo-specific factors that may have influenced the prices of privatized enterprises and assets. Policy implications suggest measures to enhance the credibility of the privatization process and related institutions