The Estimation of the Time Period Required to Achieve Real Economic Convergence Between Romania and the Euro Area

The main objective of this research is to estimate the time needed for Romania to achieve real sustainable economic convergence with the euro area. In this regard, we will try to determine when the absolute level of GDP / capita in Romania will equalize the absolute level of GDP / capita in the euro area. This equalization occurs when the growth rate of GDP / capita (expressed in PPP) of Romania is higher than the growth rate of the same indicator in the euro area. To achieve this objective, there are used simple relationships of growing of the GDP / capita both for Romania and the euro area. The estimated results shows that the GDP / capita (expressed in PPP) in Romania will be able to equalize with GDP / capita in the euro approximately in the year 2030. This uniformity will occur only if the average growth rate of the Romanian economy will remain constant, ie at the same level as the average growth rate for GDP / capita in the analyzed period. If Romania will register higher growth rates, the period of time until the country will achieve real sustainable economic convergence with the euro area average will decrease

Entrepreneurship within the Circular Economy and the Role of Information and Communication Technologies

This scientific article aims to highlight the importance of the transition from the linear economy to the circular economy and the business opportunities that can be developed based on the principles of this new type of economy. At the same time, the paper tries to determine the role of ICT’s in developing such innovative and sustainable long-term entrepreneurial initiatives. Based on an empirical analysis, the results of the research showed that the circular economy produces positive effects on the medium and long term both from an economic point of view, as well as for the environment and health. Also, the results showed that Romania is at the beginning in the process of transition to the circular economy and it takes time, financing, regulations and state support for companies that have or want to start businesses based on certain strategies specific to the circular economy. On the other hand, the exhibitions in this scientific paper have shown that digital technologies are one of the main pillars that stands up the development of an innovative and inclusive long-term entrepreneurial initiative

Telework in Romania. Current State and Sustainable Socio-Economic Effects of Its Development

The main purpose of this paper is to investigate the current stage of implementation of telework in Romania and to determine potential positive and sustainable effects generated by its development on a large scale. The research methodology used is based on descriptive analysis, comparative analysis, but also on econometric analysis. The general results obtained show that Romania registers a very low level of telework employees, this being influenced, not only by the low share of those with tertiary education and high skilled professionals, but also by the fact that most Romanian employees do not want to practice this type of work. The results also showed that telework can generate significant economic and social benefits. The potential solutions we have identified for the sustainable development of the telework phenomenon in Romania include investments in tertiary education and awareness campaigns among both employees and companies, regarding the positive effects that can be obtained through telework and business development

The Drivers of the CEE Exchange Rate Volatility - Empirical Perspective in the context of the Recent Financial Crisis

This paper focuses on the CEE countries volatility captured by the exchange rate dynamics. In the first part, the spillover phenomenon is analyzed from the perspective of the recent financial crisis, where cross-border capital flows increased the risk of financial contagion. Volatility will be approached bi-dimensionally, from the perspective of the permanent and transitory dimensions. We conclude that volatility is of long-term nature in the CEE countries, with a certain degree of pecularity in terms of shock reaction. In the second part, a research on the key determinants of the exchange rate volatility is conducted. Variables originating in financial markets were selected – EMBI spreads, Central Bank interest rate – as well as macroeconomic fundamentals – inflation, CROI index - in order to identify factors by which volatility pattern can be depicted. The key result of the research points toward a deep correlation of the exchange rate volatility between the CEE countries and the Euro Zone, implying the necessity to develop strong financial management strategies at the macroeconomic level, capable of annihilating the transmission belt crisis mechanisms.volatility, component, transitory, permanent, spillover

Possibilities to Study the Mixing State and Energy Dissipation in Metallurgical Reactors Using a System Based on Coloured Liquids

Coloured liquids are used to show the stream lines in aqueous systems used as model liquids, in different chemical reactors, also in metallurgical reactors dedicated to liquid steel processing; ladles represent a class where these principles could be succesful applied. A blue ink was selected as colouring agent because of the low price, good biological tolerability in contact with the human skin and absence of the necessity to treat the used evacuated water. As modeling liquid for stee was selected freshly distilled waterl. Mixing energy dissipation was measured at adequate scales using the transmittance and the absorbance of liquid sampleswith two laboratory spectrocolorimeters (KFK-2 Russia and Spekol-10 Carl Zeiss Jena, Germany). Volumic relative concentrations of the coloured liquids starting with 0.0005%vol. and even bellow are measured using this technique and the mentioned devices. Two model vessels, representing two types of metallurgical reactors, were usd in the present set of experiments. The experimental systems provide enough precise data because of using an adequate and accesible system of image recording and capture, based on a performant commercial web video camera

Monetary policy and bubbles in US REITs

In this article, we analyze the effects of monetary policy on the bubbles in the Real Estate Investment Trusts (REITs) sector of the United States. We use a time‐varying vector autoregressive model over the quarterly period of 1972:1 to 2018:1. We find protracted periods, starting from the onset of the recent financial crisis to the end of the sample period, where contractionary monetary policy is associated with increases in the bubble component in the REITs of the US economy. This result, which is robust to alternative REITs indexes, is contrary to the “conventional” view, as well as to the predictions of standard models of bubbles.http://wileyonlinelibrary.com/journal/irfihj2020Economic

Can monetary policy lean against housing bubbles?

Gali and Gambetti (2015) found protracted episodes in which stock prices rise in response to monetary policy tightening. This counter-intuitive result suggests that raising the policy rate in response to a perceived asset price deviation from fundamentals may fail to contain an emerging bubble. Since housing is often at the epicenter of deep and protracted recessions, it is essential (from a monetary policy perspective) to assess whether the result from Gali and Gambetti (2015) also holds when one considers housing instead of stock prices. Thus, we estimated a Bayesian VAR model based on an asset-pricing framework allowing for rational bubbles in the United States, the United Kingdom, and Canada. In addition, this estimation framework separates the fundamental component of housing prices from its bubble component, derived as the deviation of observed prices from the fundamental values. This allowed us to examine the responses of both components to a monetary policy shock and assess how bubbles may affect the responses of housing prices to monetary policy tightening. According to the results, we found that housing prices respond negatively to an interest rate hike, as common intuition would imply. This indicates that monetary policy may play a role in fighting housing price bubbles.The Romanian Ministry of Education and Research, CNCS - UEFISCDI.https://www.journals.elsevier.com/economic-modellinghj2022Economic

The Circular Economy as a Driver for Sustainable Business Development and the Role of ICT

The general objective of this research is to analyze the current impact of the circular economy on sustainability and the role that companies anticipate that ICT can have in this process. The research methodology is based on the critical analysis of specialized literature, the interpretation of statistical data and econometric modeling. The econometric analysis used to estimate the relationship between the circular economy and sustainability was carried out using the Netherlands as a reference, since the latest statistical data indicate that this country has the highest circular material use rate. The main results show, first of all, the fact that currently the circular economy does not have a considerable impact on the stimulation of sustainability, and secondly, the vision of companies from EU Member Countries, who have high expectations regarding the positive impact of ICT in boosting the business sustainability and circular material use rate. At the same time, we propose a Quintuple Helix approach for the fulfillment of sustainability objectives and for the transition to the circular economy. The article also may be a contribution to the state of knowledge in the field, especially by highlighting certain limits of the circular economy in enhancing sustainability. Our study may have possible practical implications, especially for companies that do not adopt an organizational culture based on sustainability