Search

Economic growth is a key point of macroeconomic policy and is the subject of constant attention and debate by professional public and policy makers. Theoretical and empirical research indicates differences in the level and direction of determinants’ influence on the growth rate. The main goal of our article is to construct a model of economic growth determinants in South-East European countries. We used an unbalanced panel of 12 selected SEE countries over the period 2006–2019. Our empirical findings have shown that the most robust results can be obtained using a two-step generalized method of moments (GMM) model with dummy variable. In our dynamic model, we found that trade openness and gross fixed capital formation have a positive impact on economic growth, while government expenditures negatively determine economic growth. Gross fixed capital formation has the greatest positive impact on economic growth, while government expenditure has the greatest negative impact.

Montenegro faces serious challenges in terms of waste tire management. The main goal of our paper is to consider the financial and economic justification of the implementation of the first phase of the project of collection, takeover and transport, sorting, and storage of waste tires from the three municipalities in Montenegro. The financial feasibility analysis pointed out the need to organize the second phase of the project and the production of commercially usable and energy efficient products. That phase would lead to the desired commercial effects and will probably ensure the financial sustainability of the project. The economic feasibility analysis of the project included an assessment of the socio-economic benefits from the emission reduction of the first group of pollutants (PM, SOX, NOX, VOC, CO) as a consequence of the waste tires’ destruction, predominantly by combusting them. Unit values of pollution costs by types of gases, adjusted for Montenegro, were defined in the interval from 192 EUR/t for CO to 24,294 EUR/t for PM. We proved that the direct socio-economic benefits of this project are savings in the cost of environmental pollution. The total present value of discounted costs in the observed time period was calculated at the level of EUR 1,620,080, while the total present value of the positive socio-economic effects was estimated at EUR 1,991,180. Dynamic justification indicators suggest that this investment has a satisfactory socio-economic justification, i.e., the economic rate of return is higher than the opportunity cost of capital (ERR = 15.82%), the economic net present value is greater than 0 (ENPV = 371,100 EUR), and the benefit–cost ratio is greater than 1 (B/C ratio = 1.23).

Wastewater treatment is a process that reduces pollution to those quantities and concentrations at which purified wastewater is no longer a threat to human and animal health and safety and does not cause unwanted changes in the environment. Municipal wastewater is classified as biodegradable water. Special importance should be given to wastewater with a high content of organic matter (COD), phosphorus (P) and nitrogen (N). MBBR technology, developed on the basis of the conventional activated sludge process and the bio filter process, does not take up much space and does not have problems with activated sludge, as in the case of conventional biological reactors, and has shown good results for the removal of organic matter, phosphorus and nitrogen. The aim of this paper is to optimize the wastewater treatment process in the municipality of Dojran, North Macedonia. Three alternative solutions for improving the capacity for wastewater treatment in the municipality of Dojran were analyzed. The shortlist of variants was made on the basis of several criteria, including: analysis of the system in the tourist season and beyond, assessment of the condition and efficiency of the existing wastewater treatment plant (WWTP) in combination with a new treatment plant, treatment efficiency when using different wastewater treatment technologies, the size of the site needed to accommodate the capacity, as well as the financial parameters for the proposed system. The selection of the most favorable solution for the improvement of the wastewater treatment system was made using the AHP (analytic hierarchy process) method. In order to select the optimal solution, a detailed analysis was conducted, considering several decision-making criteria, namely the initial investment, operating costs and management complexity. Based on the obtained results, Variant 3 was recommended, that is, the construction of a completely new station with MBBR technology, with a capacity for 6000 equivalent inhabitants.

Improved Cost-Benefit Analysis (CBA) analysis requires a broader analytical framework, in order to perceive each project individually from the perspective of potentially measurable and significant effects on the environment and society as a whole. The main goal of our paper is to assess the financial and economic justification for variant V3 (as the most technically optimal) of the wastewater treatment plant (WWTP) construction project in Nov Dojran, North Macedonia, with the purpose of advancing municipal infrastructure and environmental benefits from improved water treatment. Based on the economic analysis conducted, we conclude that the investment in the WWTP project is justified, because the economic internal rate of return is higher than the opportunity cost of capital (EIRR = 16.38%), the economic net present value is higher than 0, and EBCR (benefit-cost ratio) is greater than 1 (EBCR = 2.11). The highest environmental benefit of 49.2% in total environmental benefits is associated with nitrogen, while phosphorus is the next pollutant in the structure of environmental benefits at 46.1%. The environmental benefits of removing biological oxygen demand (BOD) and chemical oxygen demand (COD) are significantly less important, despite the removal of significant amounts of these pollutants during treatment. The situation is similar with suspended particles.

Balancing of different dimensions of development—economic, environmental, social, is an imperative of policies and strategies of sustainable growth, which are practiced today in the EU and globally. The main aim of our paper is to investigate the relationship between renewable (REC) and non-renewable energy consumption (NREC), greenhouse gas (GHG) emissions and share of ICT in total exports, on one hand, and GDP p.c. on the other. We created a model for EU countries divided in two groups—old and new EU members, by using PMG and ARDL models. Considering the size and structure of the sample of countries, the selected variables in the model and the relevant period (2000–2020), to a certain extent, we filled the research gap in the existing literature. Our results indicate that a 1% increase in the share of REC and ICT in total exports leads to GDP p.c. growth in the long run by 0.151% and 0.168% in old EU countries, i.e., 0.067% and 0.039% in new EU countries, respectively. Contrary, an increase of NREC by 1% has a significant and negative impact on GDP p.c. in the long run, in both groups, leading to a decrease of economic growth by 0.512% in the old and 1.306% in the new EU group. We find a 1% increase of GHG emissions was accompanied by an increase of GDP p.c. in new EU countries by 0.939%, while that impact is insignificant in old EU countries in the long run. We conclude our paper with final remarks and policy implications.

The European Union, as a signatory to the Paris Agreement, has approached the action against greenhouse gas (GHG) emissions and climate change quite ambitiously, striving to achieve climate neutrality by 2050. Extension of the European Green Deal policy implementation to the Western Balkans can only increase the chances of the climate neutral agenda. Expectations from Montenegro in the coming period are transposable to other Western Balkans countries as they are urged to start implementing the Paris Agreement by establishing appropriate policies and measures. In this regard, this paper presents the analysis of the financial and economic analysis results of measures to reduce GHG emissions in Montenegro. With this respect, least cost analysis—cost effectiveness analysis and cost–benefit analysis were conducted. The analysis results indicated that due to the thermal power plant reconstruction, increased use of renewable energy sources and measures to increase energy efficiency, the largest reduction in GHG emissions in Montenegro in the next 10 years is expected in the energy sector.

In this paper, the authors made their contribution by constructing a model for the forecast of average annual net earnings in the EU countries. The model is based on the artificial neural network (ANN) use and for the needs of its creation the authors have presented their proposal for a model entry – economic variables that determine earnings. Generally, implementing an economic policy aimed at preventing stagnation of earnings levels can be achieved by running a sustainable earnings policy and our model can be used as an acceptable tool in the function of keeping that policy.

This paper is the result of theoretical and empirical research carried out in the framework of the scientific research project “The competitiveness of the construction sector in Montenegro – the conditions, possibilities and directions for improvement” on the basis of which are identified some of the main directions of improving the competitiveness of the construction sector in Montenegro in the future.

Even though it entered the privatization process unprepared, and despite the privatization process leading to the collapse of a vast number of the largest construction companies, the construction sector in Montenegro has undergone a significant expansion in the period between 2005-2008. This was possible thanks to the opening of the Montenegrin market and creation of a favorable investment climate and a large inflow of foreign direct investment. However, the global financial crisis and a recession in the developed market economies after the mentioned period was affected by the slowdown of economic growth in Montenegro including the construction industry.

The article gives reasons for the calculation method of horizon planning based on the analysis of space-cost analogy. The latent regularities have been found out to make it possible to define the functional dependence between planning horizon and discount rate which is used for investment construction projects performance evaluation. Derivation of the formula has been presented herein, which allows calculating the changes in work in the function duration due to quasi float time of its start provided discounted estimates of the up-to-date cost of work are invariant.

Construction is an important part of every country's economy because it includes a range of economic activities that are pooled and manifested through the construction of an object. Construction sector has specific characteristics that are strictly regulated and which are largely different from other sectors.

Various criteria for the evaluation of competitive capacity of territories, considering first of all economic infrastructure and innovative development, human potential and the standard of living of the population, are considered in the article. The study is dedicated to the resource potential as the objective basis of the formation of competitiveness of the region. The author studies the role of sustainable development of the fuel-and-energy complex on the formation of competitiveness of the region. The author proves that the leading element in the development of energy industry is the natural capital because of the high material capacity of products and services of the complex, while the lack of any real competition in the energy industry of regions creates all the complex of the social-and-economic problems, peculiar for exclusive market structures.

This paper presents the key development measures for boosting economic growth in Montenegro in the future with a focus on the main goals of the construction and housing sector and proposed measures for their implementation - in order to improve the competitiveness of the construction sector.

U radu je provedena simulacija financijske i socioekonomske analize na hipotetskom primjeru projekta izgradnje regionalnog odlagališta. Analiza je pokazala da određeni investicijski projekti, posebno u zemljama u razvoju, zbog definiranja socioekonomski prihvatljivih cijena, imaju nisku ili negativnu stopu financijske rentabilnosti, pa se konačna odluka o realizaciji tih projekata donosi nakon provođenja socioekonomske analize. Projekti koje je moguće izvesti, financijsko održivi, ali ne i komercijalno isplativi, pogodni su za javno financiranje., A simulation of a financial and socio-economic analysis of a regional landfill construction project is conducted in the paper on a hypothetical example. The analysis showed that certain investment projects, particularly in developing countries, have a low or negative rate of financial profitability, due to the need to define a socio-economically acceptable price. The final decision on the implementation of these projects is taken after conducting an appropriate socioeconomic analysis. Projects that are technically feasible and financially sustainable, but not commercially profitable, are suitable for public funding.

This paper analyzes the basics of economics of transaction costs, which grew into a suitable and practical tool to explore the wide problems in the domain of different sciences. The emphasis in this paper is placed on the use of economics of transaction costs in the determination of the growth limits and optimization of its organizational structure. This paper further explores the implications of the economics of transaction costs on contemporary forms of inter organizational design.

Economy crisis significantly affects primarily the project cost management. The article considers the problems of project management in the field of housing under conditions of economy crisis. Project budgets are reduced, their mutual interference grows and framework of risks changes. Apparently, specific approaches are required to be developed to optimize the expenses and guarantee the project implementation within the approved budget. There is considered domestic and foreign experience in terms of project cost management with involvement of BIM technologies.

U radu su prezentovane dosadašnje aktivnosti u oblasti stambene politike Crne Gore. U nastavku rada izloženi su dugoročni i srednjoročni ciljevi stambene politike za unapređenje stambenog fonda Crne Gore u predstojećem periodu.