"Economic Policy Review" Bulletin ISSN 1313 - 0544


Institute for Market Economics organized a round table on July 13 (2011) to present and discuss its impact assessment analysis of Bulgarian Europe 2020 targets to create employment and reduce poverty. At least 60 experts (administration, non-government, civil society experts) were present at the event.

The Pretence of Knowledge

Petar Ganev / 26.07.2011
What kind of investment do we want? There are countless opinions on this matter. Some want agricultural investment, others want trade investment, others want to see investment in green technologies, etc. There are plenty of different opinions, but is the question itself correctly set? What does it mean to "want" any specific investment? Actually, who are we? I may want a lot of things, but what gives me the right to present it as some kind of a collective goal? Behind each investment there is someone who gives money and takes the risk and the collective (that's us) can either enjoy it or feel bad about it, but that doesn't give us any power over this investment.

Bulgarian Higher Education – Back to Socialism or a Change for the Better

Krasimir Petkashev / 26.07.2011
In one of his recent public appearance the Bulgarian Prime Minister Boiko Borisov was provocative as usual. In his characteristic style, always seeking to point fingers at someone, Mr. Borisov turned his attention to the Bulgarian students. He was particularly dissatisfied with those whose education is being subsidized by the government. Is it fair when a student receives education paid by the state and then leaves the country, he asked rhetorically. A bit hesitantly, the education minister also showed his support for Mr. Borisov’s idea to look for a way to tie the education subsidy to a commitment to remain in the country after graduation.

Why is the Economy Growing Slowly?

Recently the National Statistical Institute (NSI) announced so-called express data regarding the economic growth in the first quarter of 2011. The data show a 2.5% growth rate on a year basis, while the seasonally adjusted growth against the previous quarter stands at 0.4%. The good news is that we are on a sustainable path out of the crisis, as demonstrated by the four consecutive quarters of growth (in quarter-on-quarter terms). On the other hand, however, acceleration is not visible. To the contrary – the economy growth is slowing down both on annual and quarterly basis. It is clear that the tremendous increase in exports since late 2009 is insufficient to create significant economic growth.

Do We Need The Minimal Social Insurance Thresholds?!

Zornitsa Slavova / 26.07.2011
In 2003 the Bulgarian government introduced new insurance thresholds for 48 economic activities and professions. The primary goal of the lawmakers was to increase the collectability of social security payments and to fill the gap in the pension system. Now nine years later these thresholds are determined each year with a particular law and are being applied to 80 different economic sectors.