Search

Begin New Search Political Geography Poland Content Type Special Report Publishing Institution Center for Social and Economic Research - CASE Publication Year within 10 Years

1. Digitalisation of Poland's post-COVID economy – how to make the best use of the EU Recovery Fund?

Author:
Jan Hagemejer and Karolina Zubel
Publication Date:
01-2021
Content Type:
Special Report
Institution:
Center for Social and Economic Research - CASE
Abstract:
In this report, we show that the level of digitalisation of the Polish economy as a whole is behind European benchmarks and that it is insufficient. This has two dimensions – one is the overall low digital literacy of Polish society and the low demand for digital services, while the other is the insufficient digitalisation of business activities which stems from inefficient programmes and incentives in this respect. These dimensions overlap – human capital deficiencies reduce the benefits from digitalisation efforts on the part of enterprises while digitalisation itself is performed in an inefficient way. We analyse digitisation in several sectoral dimensions to understand the challenges facing specific segments of the Polish economy. We show that the deficiencies in digitalisation are uneven: small firms are lagging behind large firms, while manufacturing firms use existing digital solutions in inefficient ways, lacking integration and strategic vision. Given the existing empirical evidence, improvements in these areas can positively contribute to the costs of running a business and to the way a business is organised as well as improve the allocative efficiency. Improving the degree of the use of digital technology in manufacturing can contribute to maintaining the cost-competitiveness of the sector while digital process innovations can shift it towards non-price competitiveness. Improvements in the digitisation (and digitalisation) of the services sector will help with consumer outreach and facilitate entering foreign markets, in particular for small firms. Last but not least, in light of the identified list of needed improvements, we comment on the potential use of the EU Recovery Fund which was agreed in July 2020 to mitigate the social and economic damage of the COVID-19 pandemic in EU MS. Thanks to this earmarked budget, the European Commission (EC) will be able to borrow EUR 750 billion from capital markets and redistribute it among MS as grants and loans between 2021 and 2027.
Topic:
Demographics, Labor Issues, European Union, Economic Growth, Social Policy, Trade, and COVID-19
Political Geography:
Europe and Poland

2. In search of new opportunities. Circular migration between Belarus and Poland, Slovakia and the Czech Republic

Author:
Agnieszka Kulesa, Piotr Kaźmierkiewicz, Ivan Lichner, Šárka Prát, Marek Radvanský, and Andrei Yeliseyeu
Publication Date:
02-2021
Content Type:
Special Report
Institution:
Center for Social and Economic Research - CASE
Abstract:
We are pleased to present the report on circular migration flows between Belarus and Poland, Slovakia, and the Czech Republic. It is the product of a fruitful collaboration between four research institutions – Warsaw-based CASE – Center for Social and Economic Research, CASE Belarus, the Institute for Politics and Society (Czech Republic), and the Institute of Economic Research, SAS (Slovakia). The partners teamed up to implement the project “CIRCMIGR: Improving circular migration between Belarus and Poland, Slovakia, and Czechia”. Additionally, Youth Labour Rights, an NGO based in Belarus, was responsible for launching and maintaining a website addressed to Belarusians interested in working in Poland, Slovakia, or the Czech Republic. The implementation of this project was possible thanks to co-financing from the governments of Czechia, Hungary, Poland, and Slovakia through Visegrad Grants from the International Visegrad Fund. The report examines the social and economic drivers and impact of circular migration between Belarus and Poland, Slovakia, and the Czech Republic. The core question the authors sought to address was how managing circular migration could, in the long term, help to optimise labour resources in both the country of origin and the destination countries. In the pages that follow, the authors of the report present the current and forecasted labour market and demographic situation in their respective countries as well as the dynamics and characteristics of short-term labour migration flows between Belarus and Poland, Slovakia, and the Czech Republic, concentrating on the period since 2010. They also outline and discuss related policy responses and evaluate prospects for cooperation on circular migration. Circular migration flows between the countries examined in the report were affected by two events that occurred in 2020. The first was the COVID-19 pandemic. The worldwide spread of the coronavirus caused three major shocks – to public health systems, to states’ economies, and to the global financial system. The pandemic also temporarily closed borders and essentially stopped international migration. These measures, together with the border restrictions and lockdown measures which followed the onset of the COVID-19 pandemic, have affected circular migration flows between Belarus and Poland, Slovakia, and the Czech Republic as well. Surprisingly, in the case of Poland, however, this influence was limited in time and related only to the first months of the pandemic (March-April 2020). In fact, 2020 was the sixth consecutive year since 2014 during which the number of documents issued to Belarusian nationals as part of the simplified system of employing foreign nationals in Poland increased. Longer-term effects of the COVID-19 pandemic on circular migration patterns and related policies are yet to be seen, but preliminary observations are presented in the respective chapters. The second event that occurred in 2020 which affected circular migration flows between Belarus and Poland, Slovakia, and the Czech Republic was the Belarusian presidential election held in August. The announcement of the official results, according to which Alexander Lukashenko could commence his sixth term in office as the president of Belarus, provoked political demonstrations and mass anti-government protests across the country. As a result, officially due to the COVID-19 pandemic, the Belarusian government closed land border crossings for people wishing to leave the country from 21 December 2020 until further notice. This issue, as it is rather recent and thus difficult to evaluate fully, is just signalled in the report. The report is divided into five main parts. It starts with the executive summary, which discusses the concept of circular migration and synthesises the main findings of the country chapters. The country-specific section includes a chapter concentrated on Belarus, followed by chapters dedicated to the Visegrad Group countries under study – Poland, the Czech Republic, and Slovakia. Each country chapter ends with a set of recommendations addressed to policy makers. Notes on the contributors can be found at the end of the report.
Topic:
Demographics, Migration, Labor Issues, Social Policy, and COVID-19
Political Geography:
Europe, Poland, Czech Republic, Slovakia, and Belarus

3. Is a bubble inflating on Poland’s housing market?

Author:
Adam Czerniak and Stefan Kawalec
Publication Date:
03-2020
Content Type:
Special Report
Institution:
Center for Social and Economic Research - CASE
Abstract:
The year 2019 brought double-digit growth in Polish housing prices, for both new and existing homes. In some cities, real prices for residential real estate have reached the highest levels in history, even higher than at the peak of the boom in 2008. As a result, some are saying that there is a growing price bubble. But thus far no research has been produced that would comprehensively verify this hypothesis on the basis of data from 2006-2019. This work aims to fill that gap. This is exceptionally important, because assessing the likelihood that a housing price bubble is emerging is key for the conduct of monetary and macroprudential policy in Poland. Because if we’re really dealing with growth in macroeconomic imbalances, then taking pre-emptive action to limit further price growth and prepare the economy (including the financial sector) for a potential collapse in housing prices is essential for limiting fluctuations in growth.
Topic:
Markets, Economic Growth, Trade, and Housing
Political Geography:
Eastern Europe and Poland

4. Our Europe: 15 Years of Poland in the European Union

Author:
Jerzy Wilkin, Joanna Konieczna-Sałamatin, Mirosława Marody, Maja Sawicka, Paweł Kaczmarczyk, Jan J. Michałek, Andrzej Halesiak, Stanisława Golinowska, Irena Topińska, Anna Fornalczyk, Richard Woodward, Grzegorz Gorzelak, Andrzej Kwieciński, Katarzyna Zawalińska, Przemysław Kowalski, Anna Malinowska, Wiesława Kozek, Magdalena Kąkol, Maciej Nowicki, Grzegorz Wiśniewski, Andrzej Cylwik, Tomasz Komornicki, Urszula Sztanderska, Jacek Liwiński, Dorota Ilczuk, Anna Karpińska, Przemysław Kowalski, Mateusz Szczurek, Stanisław Gomułka, and Paweł Wojciechowski
Publication Date:
02-2020
Content Type:
Special Report
Institution:
Center for Social and Economic Research - CASE
Abstract:
This report is the result of the joint work of a number of experts from various fields who have been - for many years – analysing the multidimensional effects of EU institutions and cooperation with Member States pursuant to European values and mechanisms. The authors summarise the benefits of Poland’s membership in the EU based on facts; however, they do not hide their own views and reflections. They also demonstrate the barriers and challenges to further European integration. This report was prepared by CASE, one of the oldest independent think tanks in Central and Eastern Europe, utilising its nearly 30 years of experience in providing objective analyses and recommendations with respect to socioeconomic topics. It is both an expression of concern about Poland’s future in the EU, as well as the authors’ contribution to the debate on further European integration.
Topic:
Climate Change, Demographics, Energy Policy, Labor Issues, Economic Growth, Regional Integration, Social Policy, Fiscal Policy, Innovation, and Trade
Political Geography:
Europe, Eastern Europe, and Poland

5. Estonian corporate tax: Lessons for Poland

Author:
Aleksandr Łożykowski, Anna Leszczyłowska, and Dmitri Jegorov
Publication Date:
04-2020
Content Type:
Special Report
Institution:
Center for Social and Economic Research - CASE
Abstract:
Estonia has Europe’s most transparent tax system (while Poland is second-to-last, in 35th place), and is also known for its pioneering approach to taxation of legal persons’ income. Since 2000, payers of Estonian corporate tax don’t pay tax on their profits as long as they don’t realize them. In principle, this approach should make access to capital easier, spark investment by companies and contribute to faster economic growth. Are these and other positive effects really noticeable in Estonia? Have other countries followed in this country’s footsteps? Would deferment of income tax be possible and beneficial for Poland? How would this affect revenue from tax on corporate profits? Would investors come to see Poland as a tax haven? Does the Estonian system limit tax avoidance and evasion, or actually the opposite? Is such a system fair? Are intermediate solutions possible, which would combine the strengths or limit the weaknesses of the classical and Estonian models of profit tax? These questions are discussed in the mBank-CASE seminar Proceeding no. 163, written by Dmitri Jegorov, deputy general secretary of the Estonian Finance Ministry, who directs the country’s tax and customs policy, Dr. Anna Leszczyłowska of the Poznań University of Economics and Business and Aleksander Łożykowski of the Warsaw School of Economics.
Topic:
Governance, Tax Systems, Investment, Fiscal Policy, and Corporate Tax
Political Geography:
Eurasia, Poland, and Estonia

6. The significance of the tobacco product manufacturing to Poland’s economy

Author:
Adam Śmietanka, Anna Malinowska, Grzegorz Poniatowski, and Jan Hagemejer
Publication Date:
07-2020
Content Type:
Special Report
Institution:
Center for Social and Economic Research - CASE
Abstract:
This report, prepared by a team of economists from CASE, is a continuation of the 2018 analysis The significance of the tobacco product manufacturing to Poland’s economy commissioned by JTI Polska Sp. z o.o. The purpose of the research whose results are presented in this report is to assess the economic significance, challenges and development prospects of the tobacco product manufacturing, trade and distribution sector in Poland. In the report we analyze a cross-section of the tobacco industry and its significance for the economy as a whole. We also present the significant barriers to the sector’s growth, i.e. the illicit market, costs of compliance and regulatory uncertainty, and we also model the long-term macroeconomic effects of potential changes in the industry. To the best of our knowledge, at the moment this is the most comprehensive economic study of the sector.
Topic:
Economic Growth, Fiscal Policy, Manufacturing, Trade, and Tobacco
Political Geography:
Europe and Poland

7. The Rule of Law and its Social Reception as Determinants of Economic Development. A Comparative Analysis of Poland and Germany

Author:
Christopher Hartwell, Kateryna Karunska, Krzysztof Głowacki, and Maria Krell
Publication Date:
11-2020
Content Type:
Special Report
Institution:
Center for Social and Economic Research - CASE
Abstract:
The rule of law, by securing civil and economic rights, directly contributes to social prosperity and is one of our societies’ greatest achievements. In the European Union (EU), the rule of law is enshrined in the Treaties of its founding and is recognised not just as a necessary condition of a liberal democratic society, but also as an important requirement for a stable, effective, and sustainable market economy. In fact, it was the stability and equality of opportunity provided by the rule of law that enabled the post-war Wirtschaftswunder in Germany and the post-Communist resuscitation of the economy in Poland. But the rule of law is a living concept that is constantly evolving – both in its formal, de jure dimension, embodied in legislation, and its de facto dimension, or its reception by society. In Poland, in particular, according to the EU, the rule of law has been heavily challenged by government since 2015 and has evolved amid continued pressure exerted on the institutions which execute laws. More recently, the outbreak of the COVID-19 pandemic transformed the perception of the rule of law and its boundaries throughout the EU and beyond (Marzocchi, 2020). Against this background, this study examines the rule of law as a determinant of economic development in Germany and Poland from both the de jure and de facto perspectives.
Topic:
Economic Growth, Rule of Law, Trade, and Economic Development
Political Geography:
Europe, Poland, and Germany

8. Guidebook: Direction: An Efficient State

Author:
Gvantsa Ichkiti, Hasmik Grigoryan, Agnieszka Kulesa, Salome Kandelaki, and Stanislav Bieliei
Publication Date:
12-2020
Content Type:
Special Report
Institution:
Center for Social and Economic Research - CASE
Abstract:
The Polish Decentralisation Guidebook aims at presenting in a synthetic way the experience of Poland regarding the re-introduction of local government and the decentralisation process since 1989. Its main goal is to provide representatives of central and regional authorities, experts, and representatives of opinion-forming circles in Armenia and Georgia with relevant information and knowledge. The idea of the authors of this Guidebook was to facilitate mutual learning between the countries, the exchange of good practices, and lessons learned. The territorial division of Armenia was established in 1995. Now the country has two levels of administrative division – regions and communities – and the local self-government is exercised only on the level of communities. In the case of Georgia, administrative reform aimed at introducing local government started in 1997. Currently, self-government in Georgia is exercised on just one level – in municipalities (including self-governing cities and self-governing communities). Poland’s experience, in which local government units are established on all three levels of territorial division, might be useful to Armenia and Georgia, if they wish to further reform their territorial administration and pursue decentralisation. This Guidebook is comprised of four main parts. The first part is devoted to the presentation of the Polish experience in five selected areas: Empowerment of local communities Financing of local government units Providing public services Absorption of external funds by local governments Crisis responses The second part is dedicated to the presentation and analysis of needs and main blocking points in decentralisation in Armenia, while the third one concentrates on Georgia. Both of them are structured around the five above-listed areas. The last but very most important section of this Guidebook provides a set of recommendations for Armenia and Georgia based on the Polish experience in introducing local government and decentralisation. The country-specific sections of this Guidebook were prepared mainly on the basis of the results of desk research. This included reviewing the existing literature, relevant state strategies and action plans as well as reports developed by local and international organisations. Key legal acts were also reviewed. In addition, interviews with representatives of local municipalities and other stakeholders were carried out in Armenia and Georgia. This Guidebook was developed as part of the project called ‘Direction: an efficient state. Polish experiences of decentralisation and modernisation, lessons learned for Armenia and Georgia’ co-funded by the Ministry of Foreign Affairs of the Republic of Poland. It is the joint work of three partner institutions: CASE – Center for Social and Economic Research based in Warsaw, the Tbilisi-based Georgian Institute of Politics (GIP), and the Analytical Centre on Globalization and Regional Cooperation (ACGRC) from Yerevan.
Topic:
Demographics, Labor Issues, Governance, Economic Growth, Social Policy, Trade, and Decentralization
Political Geography:
Eastern Europe, Poland, and Armenia

9. Study and Reports on the VAT Gap in the EU-28 Member States: 2019 Final Report

Author:
Adam Śmietanka, Alejandro Esteller Moré, Grzegorz Poniatowski, José María Durán-Cabré, and Mikhail Bonch-Osmolovsky
Publication Date:
10-2019
Content Type:
Special Report
Institution:
Center for Social and Economic Research - CASE
Abstract:
This Report has been prepared for the European Commission, DG TAXUD under contract TAXUD/2017/DE/329, “Study and Reports on the VAT Gap in the EU-28 Member States” and serves as a follow-up to the six reports published between 2013 and 2018. This Study contains new estimates of the Value Added Tax (VAT) Gap for 2017, as well as updated estimates for 2013-2016. As a novelty in this series of reports, so called “fast VAT Gap estimates” are also presented the year immediately preceding the analysis, namely for 2018. In addition, the study reports the results of the econometric analysis of VAT Gap determinants initiated and initially reported in the 2018 Report (Poniatowski et al., 2018). It also scrutinises the Policy Gap in 2017 as well as the contribution that reduced rates and exemptions made to the theoretical VAT revenue losses. In 2017, growth in the European Union (EU) continued to accelerate with a combined real GDP growth of 2.5 percent, providing a sound environment for an increase in VAT collections. As a result, VAT revenue increased in all Member States (MS). An increase in the base was the main, but not the only, source for growth. Increase in compliance contributed to an approximate 1.1% increase in VAT revenue. In nominal terms, in 2017, the VAT Gap in EU-28 MS fell to EUR 137.5 billion, down from EUR 145.4 billion. In relative terms, the VAT Gap share of the VAT total tax liability (VTTL) dropped to 11.2 percent in 2017 and is the lowest value in the analysed period of 2013-2017. Fast estimates for 2018 indicate that the downward trend will continue and that VAT Gap will likely fall below EUR 130 billion in 2018. Of the EU-28, the VAT Gap as percentage of the VTTL decreased in 25 countries and increased in three. The biggest declines in the VAT Gap occurred in Malta, Poland, and Cyprus. The smallest Gaps were observed in Cyprus (0.6 percent), Luxembourg (0.7 percent), and Sweden (1.5 percent). The largest Gaps were registered in Romania (35.5 percent), Greece (33.6 percent), and Lithuania (25.3 percent). Overall, half of EU-28 MS recorded a Gap above 10.1 percent (see Figure 2.2 and Table 2.1). The Policy Gaps and its components remained stable. The average Policy Gap level was 44.5 percent, out of which 9.6 percentage points are due to the application of various reduced and super-reduced rates instead of standard rates (the Rate Gap). The countries with the most flat levels of rates in the EU, according to the Rate Gap, are Denmark (0.8 percent) and Estonia (3 percent). On the other side of spectrum are Cyprus (29.6 percent), Malta (16.5 percent), and Poland (14.6 percent). The Exemption Gap, or the average share of Ideal Revenue lost due to various exemptions, is, on average, 35 percent in the EU, whereas the Actionable Policy Gap – a combination of the Rate Gap and the Actionable Exemption Gap – is, on average, 13 percent of the Notional Ideal Revenue. The econometric analysis repeated after the 2017 Study confirmed the earlier results. We observe that the dispersion of tax rates and unemployment rate have a positive impact on the VAT Gap. Regarding the variables in hands of the administration, on the extended times series compared to the previous year, our results suggest that the nature of the expenditure of the administration, in particular IT expenditure, is more important that the amount of the overall resources.
Topic:
Economy, Economic Growth, Tax Systems, and Fiscal Policy
Political Geography:
Europe, Poland, and European Union

10. EuroPACE Market Analysis

Author:
Grzegorz Poniatowski, Izabela Styczynska, Karolina Beaumont, and Karolina Zubel
Publication Date:
10-2019
Content Type:
Special Report
Institution:
Center for Social and Economic Research - CASE
Abstract:
EuroPACE is an innovative tool designed to make home renovation simple, affordable and reliable for all Europeans by combining affordable financing with people-centric technical assistance. EuroPACE offers 100% up-front financing that can be repaid over a long term of up to 25 years. The innovation lies in the collection and repayment mechanism – financing is attached to the property and is repaid regularly with charges linked to a property. Homeowners are offered logistical and technical support throughout the process and access to trained and qualified con-tractors. Thus, EuroPACE overcomes the main barriers to home renovation – lack of financing, technical knowledge and complexity of the works. The concept of EuroPACE is inspired by the success of a financing model called Property Assessed Clean Energy (PACE), launched in California in 2008. In the United States (US), the PACE market reached over USD 6 billion in funded projects, including the retrofit of over 220,000 homes, which resulted in more than 50,000 new local jobs and the creation of hundreds new companies.EuroPACE combines the best practices from the US PACE market with project partners’ substantial experience in improving energy efficiency in European buildings. EuroPACE is a three-year project that intends to assess market readiness, deploy a pilot programme in Spain and scale across Europe to four leader cities. A two-phase research (firstly – legal & fiscal readiness, and secondly – market demand) has been carried to assess the overall readiness for adaptation of this model across the European Union (EU). This document is the second phase of the EuroPACE readiness assessment developed to identify European countries most suited for EuroPACE implementation. It complements the legal and fiscal assessment by focusing on the “demand dimension” by analysing local needs for energy efficiency (EE) and renewable energy sources (RES) in residential building renovation of seven selected countries. Based on the results of legal and fiscal analysis of the EU28 MS, in October 2018 the Steering Committee Group of the EuroPACE Horizon2020 (H2020) project chose seven countries: Austria, Belgium, the Netherlands, Italy, Poland, Portugal, and Romania, for the second phase of evaluation. These countries were selected based on the scoring outlined in D2.1 and two additional considerations developed by the Steering Committee Group. First, a diverse geo-graphical distribution of the countries was an important element for the selection of these seven countries. Secondly, the knowledge and expertise of the Steering Committee Group about the national potential market opportunity was taken into consideration during the selection process. While in Austria a similar mechanism has already been tested but was unsuccessful, the country still has been chosen for further analysis. In Belgium, despite being a federal state, there is a strong local and regional interest in new financial mechanisms designed to upscale residential retrofits across the country. In the Netherlands, asset-based financial instruments are currently being discussed at the national level, which opens a window of opportunity for EuroPACE to be tested in the country. As for Italy, although the property-taxation system is far from stable, potential synergies with successful programmes like Ecobonus or Sismabonus should be explored. In Poland, nearly 70% of the 6-million residential buildings need significant energy efficiency overhaul; these buildings contribute to some of the worst air quality across the EU leading to approximately 47 thousand premature deaths annually. Portugal, given its Mediterranean climate, proves a great potential not only for EE, but also prosumer RES development, given that current incentives are far from sufficient. Romania has been chosen mainly because of its highest home-ownership rate across the EU and the most institutionalised property-related taxation, possibly setting a stable base for EuroPACE being collected alongside existing charges.
Topic:
Climate Change, Energy Policy, Environment, Fiscal Policy, and Innovation
Political Geography:
Europe, Poland, Belgium, Romania, Italy, Netherlands, Portugal, Austria, and European Union