Publications - Working Papers IER SAS

Assumptions and relations of the Balsassa-Samuelson model (BSM) permit understand the developmnet of real convergence in central european EU countries. Quantification of the BS effect in their performance found its intensive formation in the years 1996–2008 and the cessation of its in the crisis period 2009–2013. It was confirmed, that the BSE size defendet on productivity increasing in the segment of material goods in CEE countries still permanently essential part of negotiable goods.

The economic crisis weakened market mechanismus, which in times of economic prosperity give rise to BSE. Therefore at the study are looking parts of economy in which industrial policy can mobilize forces supporting productivity growth and thus real convergence. In this regard, attention is being given to enter-prises, producing for the domestic market and the domestic business sector, especially its SMEs. Applica-tion of the principle of eqal treatment to domestic and foreign enterprises will change the strategy of eco-nomic development. Interest in foreign investments in it will be combined in balanced manner with support for domestic entrepreneurs