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The Development Gap Between the CIS and EU

Author

Listed:
  • Aziz Atamanov
  • Alexander Chubrik
  • Irina Denisova
  • Vladimir Dubrovskiy
  • Marina Kartseva
  • Irina Lukashova
  • Irina Makenbaeva
  • Magdalena Rokicka
  • Irina Sinitsina
  • Michael Tokmazishvili

Abstract

Current report aims to identify major existing gaps in the five socio-economic dimensions (economic, human, openness, environmental, and institutional) and to reveal those gaps which could potentially hinder social and economic integration of neighbor states with the EU. To achieve this, the authors aim to assess the existing trends in the size of the gaps across countries and problem areas, taking into consideration the specific origin of the gap between EU15/EU12, on the one hand, and FSU republics, EU candidates and West Balkan countries, on the other hand. The paper is structured as follows: 1. A review of literature on the determinants of growth and development and the analysis of the catching up process between countries or groups of countries. 2. An analysis of the historic roots and origins of the development gap, and its evolvement over time. 3. A review of literature sources, draft analysis of primary statistical data, and qualitative explanations of gaps and divergences in selected development issues across the following socio-economic dimensions: level of economic development and convergence rates based on Real GDP (application of methodology testing ß and ? convergence to the set of countries analyzed); • quality of life and its components (poverty, inequality, health status and health care, access to fresh water and sanitation facilities, subjective perceptions of well-being); • human capital and labor market development, including level of education and public spending on education, its accessibility and quality, main differences in labor market development (employment participation rates and levels of unemployment, new jobs creation and labor protection legislation); • innovation potential, including R&D, information and communication technologies, and institutional environment; • openness and trade potential, including trade in goods and services, FDI stocks, trade regime and performance in logistics and infrastructure; THE DEVELOPMENT GAP BETWEEN THE CIS AND EU 15 CASE Network Reports No. 81 • environmental performance in terms of environmental stresses, efforts aimed at their reduction, and institutional capacity; • business climate, political institutions, and other institutional indicators (econometric analysis). 4. A test econometric analysis of development gaps across selected dimensions by using a Principal Components Method (PCM). The results are further presented in the form of ranks of countries analyzed reflecting their distances from EU15 in respective aggregate averages. Special attention is paid to gender-related development issues. Respective issues in human capital and labor market study, as well as variables included into PCM analysis were supplemented with relative gender data. Several conclusions finalize the report.

Suggested Citation

  • Aziz Atamanov & Alexander Chubrik & Irina Denisova & Vladimir Dubrovskiy & Marina Kartseva & Irina Lukashova & Irina Makenbaeva & Magdalena Rokicka & Irina Sinitsina & Michael Tokmazishvili, 2008. "The Development Gap Between the CIS and EU," CASE Network Reports 0081, CASE-Center for Social and Economic Research.
  • Handle: RePEc:sec:cnrepo:0081
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    References listed on IDEAS

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    1. Kari E.O.Alho & Ville Kaitila & Mika Widgrén, 2005. "Speed of Convergence and Relocation - New EU Member Countries Catching up with the Old," Economics Working Papers 034, European Network of Economic Policy Research Institutes.
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    Cited by:

    1. Ofer, Gur, 2010. "Twenty Years Later and the Socialist Heritage is still Kicking: the Case of Russia," WIDER Working Paper Series 059, World Institute for Development Economic Research (UNU-WIDER).
    2. Muravyev, Alexander, 2010. "Evolution of Employment Protection Legislation in the USSR, CIS and Baltic States, 1985-2009," IZA Discussion Papers 5365, Institute for the Study of Labor (IZA).
    3. Jayant Menon, 2013. "Narrowing the development divide in ASEAN: the role of policy," Asian-Pacific Economic Literature, Asia Pacific School of Economics and Government, The Australian National University, vol. 27(2), pages 25-51, November.

    More about this item

    Keywords

    EU; CIS; development gap; GDP; convergence; quality of life; human capital; innovation; environment; institutions; Principal Components Method;

    JEL classification:

    • O11 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Macroeconomic Analyses of Economic Development
    • O52 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Europe
    • O57 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Comparative Studies of Countries
    • P27 - Economic Systems - - Socialist Systems and Transition Economies - - - Performance and Prospects

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