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Comenius Project "Europe in our school" 2012 -2014 Let's learn about... ECONOMY April 2014 - n° 5 Italy Poland Spain Turkey Finland Romania Estonia

Let's learn about... Economy

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Page 1: Let's learn about... Economy

Comenius Project "Europe in our school" 2012 -2014

Let's learn about...ECONOMY

April 2014 - n° 5

ItalyPolandSpainTurkeyFinlandRomaniaEstonia

Page 2: Let's learn about... Economy
Page 3: Let's learn about... Economy

ITALY

Page 4: Let's learn about... Economy

From the second

World War on,

Italy has had

great economic

changes.

After the war, It-

aly was an under-

developed coun-

try. Because of

he war, social

and economic

conditions of the

majority of the

population got

worse.

In 1951, 42% of

the population

worked in agri-

colture and the

income for each

person was only

36% of that in

the U.S.A.

Between the

1950s and 1970s

there was a re-

markable indus-

trial development

in the Northern

and Central area of

Italy.

Thanks to that, a

quick process of

economic upturn

began. So, many

people from

Southern Italy

emigrated to re-

gions like Pied-

mont, Lombardy,

Veneto and Emilia

Romagna. Thou-

sands of people

from underdevel-

THE ITALIAN ECONOMY FROM THE PERIOD AFTER THE WAR TILL TODAY

Data

1990 –2014

oped regions like

Sicily, Campania,

Puglia and Basili-

cata moved to the

North of the coun-

try. They found

work in factories

and they improved

their life condi-

tions.

These years are

very important for

the deep transfor-

mation of the Ital-

ian urban, eco-

nomic and social

fabric.

Page 5: Let's learn about... Economy

During the 1980s and 1990s there was a great de-

velopment of the service sector expecially bank-

ing, insurances, commercial, financial and com-

munication services. During these years the eco-

nomic boom was at its best: Italy was one the most

important economic power in the world.

Our area was involved in the great progression in the 1970s too. The most important

Italian factories of household products (saucepands, pots, coffee makers, tablewear)

were born in Gravellona Toce and Omegna. Brands like Alessi, Bialetti, and La-

gostina became important outside Italy and have given Italy great consideration in

the whole world.

THE ITALIAN ECONOMY 1970—1990

Page 6: Let's learn about... Economy

However, at the end of the

millenium, the economic

growth in Italy stopped

and a 10 year period of

economic stagnation has

started. In the recent five

years, Italy has been in-

volved in the world eco-

nomic crisis and it is now

in the recession phase.

So thousands of immi-

grans from Africa, Asia

and Eastern Europe

reached our country. They

were looking for work and

they hoped to better their

life conditions.

From the 1st January

2002 Euro coin was in-

troduced in Italy.

Pagina 3 1990 –2014

Page 7: Let's learn about... Economy

FOR EXEMPLE:

ZIGER: table cheese with creamy spread on rye bread. BRESAOLA , HERBS ( SAGE , MINT LAUREL ) SCIMUDIN: goat cheese of Valtellina, round shape with white crust, soft and creamy . SPEK : cured meat of Trentino-Alto Adige, legs of pork with juniper and herbs. VEZZEMA : usually used in place of parmesan cheese.

In the northern Italy we have got a lot of dairy products, fruit and vegetables delicious are in Trentino-Alto Adige, where the variety of cheese is really extensive.

TYPICAL NORTH

PRODUCT

We produce oil too: Trentino Garda oil and Eastern Garda oil ( both in Trentino -Alto Adige) Italy also produces many fine wines : sparkling, barricaded, spicy, sweet or liqueur . Wines: Barbera, Bardo, Dolcetto d' Alba (Piedmont) Boturnio (Lombardy ) Garnet Cabernetta, classic Valpolicella and Amarone (Veneto) Our typical vegetables are: corn, barley, sugar beet, rice, soybeans, wheat turkish, wheat, rye, grapes, oats , cabbage, olives, onions, garlic, beans, to-matoes, artichokes, mushrooms and potatoes. Fruit: apples, peaches , pears , plums , cherries, fruits of the forest, walnuts , hazelnuts, chestnuts , apricots, and in the area of Liguria you can find or-anges, lemons, tangerines, melons and watermelons . Fishing is popular in Friuli-Venezia-Giulia and Liguria.

I:C GALILEO GALILEI

Indirizzo ufficio 1 Indirizzo 2 Indirizzo 3 Indirizzo 4

CLASSE: IIIC

PHOTO

Page 8: Let's learn about... Economy

FOR EXEMPLE:

The tagliatelle or fettuccine are a typical pasta of the central Italy.

A variant of the “tagliatelle” are green tagliatelle, with chard or spinach, they are particularly tasty and delicate.

Another important kind of pasta is “Spaghetti alla chitarra”.

The “spaghetti alla chitarra”, also called “tonnarelli” or “maccheroni alla chitarra” in Abruzzo, are a variety of

pasta typical of Italian cuisine.

Pasta is one of the most consumed products in Italy but there is one in particular that is produced in the region of Lazio: “tagliatelle”

PASTA IN CENTRAL

ITALY

In Abruzzo “maccheroni alla chitarra” are generally prepared with meat sauce (a mi-

mixture of beef, pork and lamb) .

Another very popular kind of pasta is the delicious “pasta carbonara”

The pasta carbonara is a typical course of Latium and more particularly of Rome, it's prepared with popular ingredients and it has got an intense flavor .

Spaghetti are traditionally used.

Its typical ingredients are: bacon, eggs, pecorino cheese, little bit of salt and pepper, if

you want you can add a bit of extra virgin olive oil.

I:C GALILEO GALILEI

Indirizzo ufficio 1 Indirizzo 2 Indirizzo 3 Indirizzo 4

CLASSE: IIIC

PHOTO

Page 9: Let's learn about... Economy

FOR EXEMPLE:

Tuscan cheese, cheese from umbria,cheese from the marches,cheese from the

abruzzi,cheese from molise,roman cheese.

WE HAVE MANY TYPICAL OF CHEESE

TYPICAL CHEESE

OF CENTRAL ITALY

Tuscan cheese:In the area of Grosseto is widespread Caciotta

Cheese from Umbria:Among the cheese from Umbria we must men-tion the Pecorino of Norcia.

Cheese from the Marches:A particularly tasty cheese made from cow's milk is the Raviggiolo, widespread in the area of Montefeltro. The “Caciotta” is produced in the provinces of Urbino and Pesaro.

Cheese from the Abruzzi:The “Formaggella of Sannio” is a very popular cheese from the Abruzzi. Cheese from Molise:Typical of Molise is sheep and buffalo milk

cheese. . The “Burrino” and the “Fiordilatte” are the most popular. Roman cheese:The “Pecorino Romano” (sheep cheese) is the most typical and popular cheese in the region of Lazio.

I:C GALILEO GALILEI

Indirizzo ufficio 1 Indirizzo 2 Indirizzo 3 Indirizzo 4

CLASSE: IIIC

PHOTO

Page 10: Let's learn about... Economy

FOR EXEMPLE:

In Southern Italy wines and oil s produced in a lot of areas

In Southern Italy wine and oil are typical products

WINE AND OIL OF

SUD

WINE

In Southern Italy wine is produced in a lot of areas, other areas produce more wine

than oil, as most of the oil is produced in Liguria. Wine is an alcoholic beverage produced solely by fermentation (total or partial) of the

fruit of the vine and grape .

In Italy (and throughout the European Community), because of historical reasons, be-

cause of the protection of a higher quality product and also because of the cost and

value, you can not define commercially as "wine" the product of the fermentation of

grapes from different Vitis vinifera . Hence the term, in case of commercialization of

different fermentation, must be omitted . Common system to remedy this prohibition

is, for example, to mention just the name of the grape variety used, of course without

mentioning the word "wine " .

With this drink you can also give life to a noble distillate, if aged for at least 12 months

in oak, it takes the name of brandy.

OIL

The vegetable oil generally comes from the pressing of oilseeds (sunflower, peanut,

flax, olive oil, palm oil) or from olives or from other parts of plants that contain them.

Liguria is the world's largest producer of oil.

There are many types of oil including:

Extra virgin olive oil

Virgin olive oil

Grade olive oil

Refined olive oil

Olive oil composed of refined olive oil and virgin olive oil Olive-pomace oil ( Olive-pomace oil is olive oil that is extracted from olive pulp after

the first press)

Refined olive-pomace oil .

I:C GALILEO GALILEI

Indirizzo ufficio 1 Indirizzo 2 Indirizzo 3 Indirizzo 4

CLASSE: IIIC

PHOTO

E

Page 11: Let's learn about... Economy

The texile ac-

tivity was cre-

ated in Milan,

in the half of

the XII cen-

tury with the

wool manu-

factory. Dur-

ing the Ren-

aissance,

Florence was

the main cen-

tre. The textile

industry was

especially de-

veloped in the

North of Italy

and in Prato,

in Tuscany. In

the last years,

China and In-

dia became

terrible com-

petitors for

the Italian tex-

tile industry,

China is an

only trader of

silk worms

and it has the

monopoly of

the lavoration

of silk.

Texile industry

ILVA

Ilva is a very im-

portant Italian

company firm of

iron an steel. In

Taranto there is

a very important

industrial park

for the manifac-

turing in

Europe. Many

machineries

were closed for

pollution.

I c . G a l i l e o G a l i l e i

INDUSTRY

Page 12: Let's learn about... Economy

‘’Cinecittà’’ is in Rome. There are

22 studios. It’s the most important

industry in Italy but it’s used even

for foreign productions.In 1937 fa-

mous film directors worked here:

for example Fellini and Scorsese.

The home of reality show ‘’Grande

Fratello’’ was in Cinecittà from

2000 and it was destroyed by the

fire in the night between 13th and

14th December 2013.

second indus-

trial sector of

Italy, and re-

acted well to

the crisis. The

“Made in Italy”

in the world is

always

popular

espe-

cialy in

the new

markets

This sector is

slightly re-

duced through

the 2011 and

2012 and felt

the effect of

the economi-

cal crysis re-

garding the in-

dustrial sec-

tors. The food

and the agri-

culture are the

like South

America,

China, India

and Thailand.

FOOD ECONOMY

Cinecittà

PAGE 2

Page 13: Let's learn about... Economy

Saras society

was founded

in 1962 by An-

gelo Moratti,

the managers

are now his

sons. The re-

finement of

the petrolium

is the most im-

portant site in

Sarroch group.

The capacity is

300.000 bar-

els a day. At

the begining

Saras group

produced

electric en-

ergy but then

they produce

different en-

ergy sources

especially in

the sector of

wind power.

PAGE 3

Gold work

Saras

important too

in this sector.

Exportation

are more than

a third of the

world total in

Italy. In Flor-

ence, prestig-

ious and tradi-

tional gold

works like en-

gravings make

the jewels

original and

elegant, espe-

cially rings,

bracelets, pen-

dants, earrings

and brooches.

Valenza is the

undisputed

capital of mar-

vellous jew-

eler’s crafts. It

produces gold

jewels from

more than sev-

enty years.

They are sold

not only in Italy

but all over the

world. The city

of Vicenza

near Venice is

Page 14: Let's learn about... Economy

The Gian-

duiotto is a

piece of

chocolate with

the shape of a

boat over head

kick composed

of chocolate

gianduia and

prduced in

Torin. It’s-

Wrapped in

gold or silver

paper. It’s

made of co-

coa, sugar and

nuts. The first

society was

“Cafferel” and

was presented

to theopublic

by mr Gianduia

in 1865

( came to take

ago the manu-

factury from

Faenza were

very important

for the europe-

an.A lot of city

shops the cera-

mic is produ-

ced in different

Faenza is well

known in the

wordl as a

synonim of ce-

ramic.In fact,in

English

“faience” me-

ans majolica.

Five centuries

shapes and de-

cor.Here thecraft

mans create e-

xperimentations

majolic for pla-

tes,vases and

albarelli.

Furniture industry

The Gianduiotto

The ceramic of Faenza

small and me-

dium firms are

involved. Coun-

tries like China

and Poland aare

great competi-

tors. The difficult

economic situa-

tion has created

a deep transfor-

mation : only

the best enter-

preses business

survive.

The industry of

furniture is the

second one re-

garding the

“Made in It-

aly.”After the

fashion industry

PAGE 4

Page 15: Let's learn about... Economy

Nutella is very

important for

the “made in

Italy” regar-

ding feeding.

The soft cocoa

cream created

by the can-

dymarket Pie-

tro Ferrero in

1946 and put

on themarket

in 1963. It re-

presents a uni-

que example

.in our country

every year

people eat

10000 kilos of

nutella, that is

60 thousand

jars. The Pie-

mont craf-

tsman make

bread cute in-

to slices, they

were called

“Gianduiotto”,

due to the hot

penod the bre-

ad of Giandu-

iotto melted

and became

creamy. So the

shopkeepers

started selling

this as a

snack. From

that moment

the Ferrero al-

tered the for-

mula and ma-

de it soft and

ready tospre-

ad. In 1962

the Ferrero

created

“Nutella”, the

name comes

from the En-

glish “Nut”

with sugar and

cocoa.

PAGE 5

Nutella

Page 16: Let's learn about... Economy

There is a pe-

culiar working

of glass of the

Island of Mura-

no,near Veni-

ce. It was born

in the VIII cen-

tury with Asiat

ic and Arabi-

cinfluence

.Venice was a

very important

commercial

Harbour. The

process of

glass work is

complicate.

The glass ma-

de of silica be-

come liquid

with high tem-

peratures. Be-

fore solidifica-

tion the mate-

rial is soft and

working it.

There are se-

veral techni-

ques. Murano

glass working

starts with the

stratification

of liquid colou-

red glass. It is

used in long

bars. When

they cool down

they are cut

diagonally.

Glass handcraf-

tsmen could

not go away

from Venice to

avoid the diffu-

sion of this art

abroad.

PAGE 6

Murano glass

3^A

Page 17: Let's learn about... Economy

ITALIAN EXPORTS

Italy exports iron, cast iron, steel because they are used in various applications and features.Iron is a metal of shiny colour, it has a density of 7,86 kg/dm3 and it is used for frying pans, stoves and pots.Cast iron is a metal. It is produced in the blast furnale at full cycle and it is used for stoves, pots andpans.Steel is a metal. It is produced in steel factories. It is used for beams, profiles and sheets.

IMPORTS EXPORTS

Germany: 17 % Germany 13 %

France 8,9 % France 11 %

Netherland 5,6 % Switzerland 5 %

Switzerland 3,5 % Austria 2,5 %

Austria 2,6 % Netherland 2,3 %

Spain 4,7 % Poland 2,5 %

Russia 4,1 % Russia 2,4 %

U.K.3,5 % U.K. 5,6 %

U.S.A 3,0 % Spain 5,7 %

Libya 3,2 % U.S.A. 6,9 %

Turkey 2,5 %

Canada 1,0 %

Brasil 1,2 %

IMPORT & EXPORT IN ITALY

EXPORTING:Agricultural vehicles: New Holland, Same, Lamborghini, Landini, LaverdTruck: IvecoCars: Gruppo Fiat, Ferrari, Lamborghini

IMPORTED:

Agricultural Vehicles: John Deere, Case, Fendt, Kubota, ClassTruck: Scania, Merceds, Man, VolvoCars: Mercedes, Volvo, Pugeout, Citroen, Yundai, Porsche

Page 18: Let's learn about... Economy

EDITING Editing is very important for the Ital-

ian economy.

Editing is a particular activity consist-

ing of choosing and selecting writings

that can be published as books, maga-

zines and cd roms or e.books.

The times to publish a book are: selec-

tion of the originals, preparing the first

edition to be pressed, graphic project,

press.

The history of editing started when

Gutenberg invented the press in the

XV century, but

the real father of

editing is Aldo

Manuzio. In the

same century he

started the mod-

ern editing in

which editor is a

kind of man-

ager. In 1500 in Italy there are still

several editing managers such as Zop-

pino and Marcolini who worked in

Venice as well.

But the very first modern editing man-

agers in Europe can be really found at

the end of the 19th century.

Editing is a sort of creative job which

goes from c Adelphi, Big-

n a m i , B o m p i a n i , C o m i x , D e

agostini,Einaudi,Fandango,Fazi,Feltri

nelli,Flaccovio,Garzanti,Giunti,

M o n d a d o r i , N o r d , P i e m m e :

,Rizzoli,San Paolo,Zanichelli.

hoosing the written tests till the final

productions: books and multimedial

products.

Editing is a sort of industry in which

many people work to allow quality of

production.

In little magazines publishers have got

many tasks, in big ones there are

really lots of people working to realize

the production.

In Italy there are a lot of publishers

s u c h a s A d e l p h i , B i g -

n a m i , B o m p i a n i , C o m i x , D e

agostini,Einaudi,Fandango,Fazi,Feltri

TURISM IN ITALY

SKIING RESORTS

In Italy there are a lot

of important places in

the mountain where

you can ski.They are

either in the Alps and

the Appennini.Not very

far from our school

there is the Vigezzo

HOTELS We live in a particularly touris-

tic place. For these reason we

mention some of the best

known hotels with informations

about it.

Villa Crespi is on Orta lake and

it works the most from July to

September.

It has 14 rooms and it was

opened in 1879 by Crespi fam-

ily.

Food is really good and so is the

building.

Piccolo Lago is on Mergozzo

lake. It’s also on Michelin guide

with 2 stars.

Food is supreme and location

wonderful.

We also have lots of other ho-

tels such as Cicin and Dino very

Page 19: Let's learn about... Economy

TOURISM at the THE

SEASIDE

Italy is a country with about 7500

km coasts.

We’ve got very nice landascapes

along the Italian coasts. The

Mediterranean sea is quite clean

and blue with lots of fish and the

ecosystem is rich.

There are lots of famous places

along the coasts, such as Porto-

fino and Portovenere and Cinque

Terre, in Liguria in the North of

the country. In the North East we

can find Lignano Sabbiadoro and

Jesolo, on the Adriatic sea. Then,

some kilometers belowthere is the

famous Riviera Romagnola,

which is important not only for

the seaside but for the cities such

as Ravenna and Rimini.

Then, in the western part of Italy,

along the Tirreno sea there are the

famous beaches of Toscana with

the great islands of Pianosa, Mon-

tecristo, Capraia, Gorgona, Gian-

nutri.

Other important and wonderful

landscapes are Riviera del Con-

ero, then the other islands in front

of Naples such as Capri, Ischia,

Procida, Vivara, Nisida and, not

so far away, the famous beaches

of Gaeta, Sperlonga, San Felice

Circeo, Sabaudia.

In the South of Italy we can visit

the wonderful beaches of Puglia

and Calabria, with Otranto, Santa

Maria di Leuca and Tropea.

Then there are the two very big

islands of Sicily with lots of fa-

mous places like San Vito Lo

Capo, the Eolie, Egadi and Pela-

gie islands and the Smeralda

coast and Maddalena islands in

Sardinia.

RELIGIOUS TOURISM

Religious tourism makes people

moving to go and visit churches,

monasteries and holy buildings.

Lots of people move every year to

go and visit these places even

though they don’t believe so much

but they are just interested to ob-

serve and admire this social phe-

nomenon.

In Italy we’ve got two important

religious routes: the Francigena

route that connects central Europe

to Rome. Lots of pilgrims used to

cross Europe to arrive in Rome or to

continue for Brindisi to go to Holy

Land.

The other religious route is the

Abati one: it links the little town of

Bobbio to Parma. Lots of Irish and

French pilgrims used to pass

through this road to visit the St. Co-

lombano ‘s tomb.

NATURISM

This form of tourism is quite mod-

ern.

In 1800 men started to think about

a world with no pollution, non

noise and nothing that struggled

with nature.

Nowadays this kind of tourism is

also called ecotourism.

There places in which you can go

and live with nature as if human

beings haven’t arrived jet.

You can admire landscapes and

walk through forests or fields tog-

heter with its real inhabitants:

birds and animal in general.

There also places in which you

can have a rest but they don’t

damage at all the nature.

These places are really protected

by the law.

Some of the most famous are:

Gran Paradiso, Val Grande and

Gran Sasso.

Page 20: Let's learn about... Economy

POLAND

Page 21: Let's learn about... Economy

The Economy

of Poland

Page 22: Let's learn about... Economy

The Economy of Poland is a very high income economy and is the sixth

largest in the EU and one of the fastest growing economies in Europe with

a yearly growth rate of

over 3.0% before the late-

2000s recession It is the

only member country of

the European Union to

have avoided a decline in

GDP, meaning that in

2009 Poland has created

the most GDP growth in

the EU. As to December

2009 the Polish economy

had not entered recession

nor contracted. According to the Central Statistical Office of Poland, in 2010 the

Polish economic growth rate was 3.9%, which was one of the best results in

Europe.

The Polish state has steadfastly pursued a policy of economic

liberalization throughout the 1990s with positive results for economic growth

but negative results for some sectors of the population. The privatization of

small and medium state-owned companies and a liberal law on establishing new

firms has encouraged the development of the private business sector, which has

been the main drive for Poland's economic growth. The agricultural sector

remains handicapped by structural problems, surplus labor, inefficient small

farms, and a lack of investment. Restructuring and privatization of "sensitive

sectors" (e.g. coal) has also been slow but recent foreign investments in energy

and steel have begun to turn the tide. Recent reforms in health care, education,

the pension system and state administration have resulted in larger than expected

Page 23: Let's learn about... Economy

fiscal pressures. Improving this account deficit and tightening monetary police

with focus on inflation are priorities for the Polish government. Further progress

in public finance depends mainly on the reduction of public sector employment

and an overhaul of the tax code to incorporate farmers, who currently pay

significantly lower taxes than other people with similar income levels. Despite

some continued systemic problems, Poland has made great economic progress

over the last decade and now is ranked 20th worldwide in terms of GDP. The

largest component of its economy is the service sector.

Industry

Before World War II Poland's industrial base was concentrated in the

coal, textile, chemical, machinery, iron and steel sectors. Today it extends to

fertilizers, petrochemicals, machine tools, electrical machinery, electronics, car

manufacture and shipbuilding. Poland's industrial base suffered greatly during

Page 24: Let's learn about... Economy

World War II and many resources were directed toward reconstruction. The

socialist economic system imposed in the late 1940s created large and unwieldy

economic structures operated under a tight central command. In part, because of

this systemic rigidity, the economy performed poorly even in comparison with

other economies in Central Europe.

In 1990, the Mazowiecki government began a comprehensive reform

programme to replace the centralized command economy with a market-oriented

system. While the results overall have been impressive, many large state-owned

industrial enterprises, particularly the rail, mining, steel, and defense sectors,

have remained resistant to change and the downsizing required to survive in a

market-based economy. There are 22 industrial districts in Poland , among them

a lot of centers and industrial works are on a very urban areas. They are:

Górnośląski, Rybnicki, Krakowski, Bielski, Opolski, Częstochowski,

Piotrkowsko- Bełchatowski, Warszawski, Łódzki, Staropolski, Lubelski,

Tarnobrzeski, Rzeszowski, Karpacki, Kalisko-Ostrowski, Wrocławski, Legnicko

- Głogowski, Sudecki, Poznański, Bydgosko-Toruński, Szczeciński i Gdański.

The biggest of them is a

Górnośląski Industrial District

(GID). This is a typical district of

raw materials which are located in

a basin of coal. Heavy industry is

a dominating one here ( coal and

iron mining – Dąbrowa Górnicza,

Gliwice, Ruda Śląska), power

engineering (Jaworzno, Łaziska

Górne), machine industry

(Sosnowiec, Katowice, Mikołów).

Page 25: Let's learn about... Economy

A very fast developing of heavy industry led to a large devastation of each

element of natural environment .In these districts there is the biggest

concentration of population. A certain barrier in developing of these districts is a

lack of highly qualified employees. The second of the biggest is Warsaw. The

main feature of this district is an urban one. Dominating department of this

industry is a machine building (motorcars, electronics). A very well developed

is also a chemical industry(pharmaceutical, chemistry household, cosmetics and

clothing). Employees are qualified very well here.

Agriculture

Agriculture employs

12.7% of the work force but

contributes 3.8% to the gross

domestic product (GDP),

reflecting relatively low

productivity. Unlike the

industrial sector, Poland's

agricultural sector remained

largely in private hands during

the decades of communist

rule. Most of the former state

farms are now leased to

farmer tenants. Lack of credit is hampering efforts to sell former state farmland.

Currently Poland's 2 million private farms occupy 90% of all farmland and

account for roughly the same percentage of total agricultural production. Farms

are small—8 hectares on average—and often fragmented. Farms with an area

Page 26: Let's learn about... Economy

exceeding 15 ha accounted for 9% of the total number of farms but cover 45%

of total agricultural area. Over half of all farm households in Poland produce

only for their own needs with little, if any, commercial sales.

Poland is a net

exporter of processed

fruit and vegetables,

meat, and dairy

products. Processors

often rely on imports to

supplement domestic

supplies of wheat, feed

grains, vegetable oil

and protein meals,

which are generally

insufficient to meet

domestic demand.

However Poland is the

leading EU producer of

potatoes and rye and is

one of the world's

largest producers of

sugar beets and

triticale. Poland also is

a significant producer

of rapeseed, grains,

hogs, and cattle.

Average yields of

cereals.

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Transport

Today transport in Poland is provided by means of rails, roads, shipping

and air travelling. Positioned in the East-Central Europe and with the eastern

and part of northeastern border, compromising the longest land border of the

Schengen Area with the rest of Northern and Central Europe, Poland has been

long and remains a key country through which imports and exports pass to the

European Union. Since joining the EU in May 2004, Poland has invested large

amounts of money into the modernization of its transport networks. The country

now has a developing expressways network composed of motorways such as the

A1, A2, A4, A18 and express roads such as the S1, S3, S5, S7, S8. In addition to

these newly built roads, many local and regional roads are being rebuilt as part

of a national programme to rebuild all roads in Poland. LOT was the first

European airline to introduce the Boeing 787 Dreamliner

The A4 Motorway near Kraków

Again with regard to railways, much the same situation is taking place. The

Polish authorities have begun a program by which they hope to increase

operating speeds across the entire Polish rail network. Polish State Railways

(PKP) are using new rolling stock, ten new machines Siemens Taurus ES64U4

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capable of speed equal 200 km/h (124 mph). Finally, there is a plan to introduce

high speed rail to Poland from

around

December

2014. The

Polish

government has

revealed that it

intends to

connect all major

cities to a future

high-speed rail

network by 2020.

PKP Pendolino ETR 610 new test train set the record

for the fastest train in the history of Poland, reaching 293 km/h on 24th

November 2013. The government's plan is to start passengers transport with

permanent speed of 200 km/h from Warsaw to Kraków in December 2014. Old

top speed has been 160 km/h since 1985. Most intercity rail operations in Poland

are operated by PKP Intercity whilst regional trains are run by a number of

operators the largest of which is

Przewozy Regionalne.

The air and maritime transport

markets in Poland are largely well

developed. Poland has a number of

international airports: the largest of

which is Warsaw Chopin Airport, the

primary global hub for LOT Polish

Airlines. LOT is 28th largest

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European airline and one of the world's 12th oldest still in operation established

in 1929, from a merge of Aerolloyd (1922) and Aero (1925).

Seaports exist all along Poland's Baltic coast with most freight operations

using either Gdynia or Gdańsk as their base. Passenger ferries link Poland with

Scandinavia all year round, these services are provided from Gdańsk and

Świnoujście by Polferries, Stena Line from Gdynia and Unity Line from the Port

of Świnoujście.

Economy of the Lubaczów Commune

The Lubaczów Region has its specific and individual character shaped by

the natural environment and the rich history of this land. It’s mainly perceived as

an agricultural land and the region with recreational and tourist values.Forests

occupying over 59 thousand hectares, what makes up 45% of it’s area, are the

main economic advantage of the Lubaczów Commune. The forests contribute to

the development of timber processing as well as furniture and ecological toy

production.

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Mineral resources and minerals are very

important abundance of the

Lubaczów land. Earth gas and

sulphur are among the main ones.

Highly calorific earth gas mining is

concentrated within the area of

Lubaczów. Whereas sulphur deposits ,

over 100 million tones , lay in

Basznia Górna nearby Lubaczów at

the depth of around 260 m. Due to

the specific geological structure,

this is a safe deposit without

any ecological hazards.

The largest enterprises include:

conTeyor in Lubaczów, Black Red White in

Dachnow, Construction Machinery Factory in

Lubaczow and Sanatorium in Horyniec Zdrój. Therapeutic

sulphidic waters are exploited in Horyniec Zdrój

communes for the needs of the operating

health resort spas. Therapeutic mud is also

used in the health resort.

Difficult conditions of land

management, low profitability of

agricultural production as well as growing

unemployment in the countryside force farmers to

seek new alternative sourcers of income, such as countryside tourism,

production of vegetables and fruits and pond fish production.

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International business in Poland

Polish law is rather favourable to foreign entrepreneurs. The government

offers investors various forms of state aid, such as: CIT tax at the level of 19%

and investment incentives in 14 Special Economic Zones (among others: income

tax exemption, real estate tax exemption, competitive land prices), several

industrial and technology parks, the possibility to benefit from the EU structural

funds, brownfield and greenfield locations. According to the National Bank of

Poland (NBP) the level of FDI inflow into Poland in 2006 amounted to 13,9

billion Euros.

According to an Ernst & Young report, Poland ranks 7th in the World in

terms of investment attractiveness. However, Ernst & Young's 2010 European

attractiveness survey reported that Poland saw a 52% decrease in FDI job

creation and a 42% decrease in number of FDI projects since 2008According to

the OECD (www.oecd.org) report, in 2004 Poles were one of the hardest

working nations in Europe. Yet, the ability to establish and conduct business

easily has been cause for economic hardship; the 2010 the World Economic

Forum ranked Poland near the bottom of OECD countries in terms of the clarity,

efficiency and neutrality of the legal framework used by firms to settle disputes.

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SPAIN

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SPANISH ECONOMYComenius Tamujal.

We are going to make an economical analysis of the situation of Spain.To thispurpose, we want to escape a typical analysis based only on official figures andeconomy-focused interpretations. We will try to be more society-oriented and acritical valuation, taking into account more values that are near to citizens ingeneral,including valuations which take into account education,health and the realwelfare of the population. For this, we will base ourselves in the OCDE report.“Index for a better life”. This does not mean that we will avoid data that reflect thecurrent situation in which the financial and political rulers of Extremadura, Spainand Europe have driven us into,as well as its impact on social rights-now inquestion- with the logical loss of rights and living standards for the Spanishpopulation.

Spanish data (with reference to 2011 or 2012,depending on the statisticsconsidered),turn out a very favourable result as far as the aliance between life and workstandards are concerned, in which the mark reaches a 9 out of 10. Here the significantpiece of data is that the amount of employees that work more then 50 hours a week is low,whereas the amount of hours dedicated to leisure and personal care (including sleep) isclose to 16.

In Spain, the potentially working mass amounts to some 22.900.000 people atthe end of 2012, earning an average monthly salary of 1556 €,with a minimum wage of748,30 € in 2013. Out of this working potential the most worrying piece of information forthe Spanish population is that 27,16% is unemployed. That entails that as of March6.202.700 people are out of work. The following diagram shows the evolution ofunemployment rate in the last years.

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In terms of employment,around 58% of the Spaniards between the ages of 15 and64 are employed, a lower figure than the OCDE standard,which is 66%.About 64% of menhave a job, as opposed to 53% of women. In Spain people work 1960 hours a year, lessthan most of the countries in Europe,who work 1776 hours. Just 6% of employees have avery long schedule,a lower figure than the OCDE standard of 9%,and, amongst them, 9%work long hours as opposed to 4% of women.

Spanish youngsters face even bigger difficulties;an unemployment rate of 46.4%,the highest in the OCDE and much higher than the average 16.2%.

Although money cannot buy happiness, it is an important means to achieve higherliving standards.In Spain, the net family available adjusted income is 17484 € a year,slightly lower than the average of 17738 €. However, the gap between the richer and thepoorer is noticeable; the sector of the population on the 20% top income bracket earns sixtimes as much as the 20% lower sector.

The GNP (Gross National Product) of the country, divided into sectors, turnsout to be rather unbalanced: Agriculture,cattle, fishing and mining (2,5%).Energy(2,8%).Construction (9,2%).Industry (11,5%).Services (65,6%).

The main industries of the country aremachinery,automobiles,shipyards,electronics,metal and foundries,chemicals,textile andshoe making and food and drinks.

As for R+D+i(Research,development and innovation),despite a generallydeficient position, Spain counts on a significant position in specific fields such asrenewable energies,biotechnology,pharmaceutical companies,transport and small andmedium sized high-tech companies,that must become the fortresses on which oureconomy will get over the crisis and modify the bases of our economical growth.

The only sector that has behaved in a positive way along the year has beenexportations,which have seen a slight increase in exportations and a decrease inimportations,giving out a positive balance in goods and services for the first time in 15years.

The causes posed as the bad response to this crisis are diverse;several analystshave proposed some possibilities: the excessive weight of the construction sector on theGNP (it is a low productivity-, low tech-,low innovative sector),a historical tendency tomake low working costs (immigration,working scarcity,etc...) up for investment incapital,the thin ties between universities and companies and a still insufficient rate ofinvestment in R+D+i-

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Spanish communities according to GNP (2010):

Between 31.952€ y 28.001€

Between 28.000€ y 23.875€ (Spanish average 23.874€)

Between 23.873€ y 20.001€ Between 20.000€ y 16.714€

Spain is below the European Union average; in the EU the per capita GNP is25.100€, in Spain it is 23.874€, that means some 1226€ less.

According to the nominal GNP per inhabitant, the pole position is for the BasqueCountry, with 31.228€ per inhab., followed by Navarre ( 30.068€), Madrid ( 29.731€) andCatalonia (27.430€).

On the opposite side of the ranking, Extremadura ( 16.149€ per inhab.),Andalusia(17.587€) and the city of Melilla (18.454€),at the bottom of the list. The national average in2011 was 23.271€ and the 27 countries of the EU 25.134€.

The amount of population under the poverty level in Spain is about 21,1% in thefirst quarter of 2013.

The underground economy in Spain is estimated to amount to about 23% of theGNP, which represents about 240.000 million €.

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Possesing a good education is an important condition in order to find a job.InSpain,53% of adults between 25 and 64 years have obtained the equivalent to a GCSEcertificate, lower than the OCDE standard of 74%.This is even more visible in the case ofwomen, as 52% of them have succesfully finished their secondary studies,in comparisonwith a 54% of women.As for the quality of our educationakl system, the average studentobtained a qualification of 484 points in literacy,mathematics and science in the PISAreport,being the OCDE average 497. In Spain, boys and girls obtained similar marks,incomparison with the average OCDE mark of 9 points for the girls.

As far as health is concerned,the life expentancy reaches 82 years,two more thanthe OCDE average.This expectancy reaches 85 for women and 79 for men.

Spain must carry a robust policy of conciliation of working and family life. It is hardfor Spanish families to live and work; both women's employment and birth rates are low incomparison to other countries. At a rate of just 1.4 children per woman, Spain's birth ratehas been one of the lowest in the OCDE in the last two decades.

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EXTREMADURAN ECONOMY

Standard Period Data

OFFICIAL

POPULATIONFIGURESExtremadura 01/01/2012 1.108.130Badajoz Province 01/01/2012 694.533Cáceres Province 01/01/2012 413.597

HUMAN RESOURCES AND LABOUR MARKET

An amount of 18,6% of the Extremaduran population holds a college degree, a figure

well below the national standard. Also, a 20% of people with a job in this educational level.

We also have the lowest amount of qualified population (GCSE level+college level)

nationwide. As well as that, a 35% of population is in working age. Amongst university

students the weight of enrollment in engineering is also thin on the ground. Alternatively,

the presence of women inscribed in new degrees has visibly been increased.

The present crisis has strongly influenced our working market.

A visible drawback in enmployment figures may be observed in services and in

the sector of population below 35. Also, a 35% of employees work on temporal contracts,a

rate that climbs ten points above the national average. Our unemployment rate reaches,

as of today, a 32% of the potentially employable within a very inefficient working market,

with a vacancy per every 173 unemployed, against a vacancy per every 73 unemployed in

the working market in Spain as a whole, which is, in turn, terribly inefficient compared to

developed countries (one vacancy per 10 unemployed). Young unemployment is

excessive, too, considering that young people are amongst the less qualified and longest-

lasting unemployed. Every rate in this department climbs above 50%.

Male unemployment in May 2013 is 67,151 as it decreased in 1,614 people (2.35%)

and female unemployment decreased in 535 people (-0.64%) compared to April.

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PRODUCTION IN EXTREMADURA

PRIMARY SECTOR

Very important in Extremadura, in as much as it represents 7.1% of the GNP of our

community.

AGRICULTURE

The presence of great extensions is typical of Extremaduran agriculture, extensions

whose production is usually quite low (most of them are farmed extensively,not intensively)

and small properties, which, despite their low resources for mechanization, show great

productivity. The main farming varieties are:

Dry land farming. based upon the Mediterranian trilogy (cereal, mainly wheat or barley,

wine and olive), to which some others are added, such as industrially-oriented plants

(sunflower) or fig trees. This type of agriculture is mainly located in plains or mountain

sides.

Irrigated land farming. These crops are the main raw material for Extremadura´s

agricultural industry. Amongst the crops grown, tomatoes, asparagus, peppers, rice,

maize, tobacco, beetroot and fruit trees (peaches,nectarines,pears and cherries). The

main irrigated farming areas are the valleys of the Guadiana, Alagón-Árrago, Tiétar and

Jerte rivers, and the area of Campo Arañuelo.

CATTLE

The main cattle ranches in Extremadura are

found in wide *dehesa areas, characterized by a

mixture of agricultural,cattle and tree farming

production.The most important types of cattle are:

• Sheep. It is by far the most abundant variety

(20.5% of the Spanish cattle figures as a whole).This kind of cattle is dominant in the

eastern and central areas of Badajoz (La Serena and La Siberia) and central and

southern Cáceres (the plains of Cáceres, Trujillo and Logrosán). Sheep production is

esentially focused on meat, milk and cheese (controlled denominations

«Corderex»,«Queso de La Serena» and «Torta del Casar»).

• Pork. The second most abundant species (amounts to 10.2% of the Spanish total).

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Typical of the Extremaduran landscape dehesa,where it feeds on acorns. The

controlled denomination is called «Jamón Dehesa de Extremadura».

• Beef. Amounts to 14% of the total of cattle units in Spain. Milk cows are confined to

irrigated areas,in intensive explotations,focused on dairy industry. Meat production is

developed in the dehesas, where the home species retinta, blanca cacereña and

morucha are bred (for the controlled denomination «Extremaduran beef»)

• Goats. Amouts to 10.2% of the total in Spain, grown in mountain areas (Toledo

mountains and Sierra Morena). It is mainly focused on meat production and milk for

dairy products, especially cheese («Queso de los Ibores» controlled denomination)

• Bee-keeping. Wax and honey production is quite significant, mainly around

environmentally protected areas. There is, again, a controlled denomination, «Miel de

los Ibores".

SECONDARY SECTOR

It is the second most important sector as far as hand work and income production is

concerned; ie represents a 24% of the regional GNP.

MINING AND SOURCES OF ENERGY

Rocks for construction and decoration.

Both slate, in Villar del Rey,and granite, in Quintana de la Serena, are widely used

and exported to several European countries.

Industrial minerals and rocks.

Both provinces have tin, tungsten and nickel mines.

Mineral water. Extracted in western Extremadura,in springs in Alburquerque and

Valencia de Alcántara.

Extremadura's high energy potential makes it an energy-exporting region.

Hydroelectrica production,from power stations in the Guadiana and Tajo rivers, is very

high,and so is nuclear power station in Almaraz.

Alternative energy sources are less developed; photovoltaic and bio-mass

plants are already underway.

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INDUSTRY

Industry in Extremadura is, generally considered, small sized, although this

tendency is changing in the last years. Industrial activity represents 6.4% of our GNP. The

main industrial branches are:

• Food,drink and tobacco. It is by far the most important activity regionwide and it is

based mainly on transforming cattle, agricultural and dairy products. This industry is

divided into two types:

• Canned foods industry, high dependent from outside capital and a high

technological standard.

• Cork and timber,scattered all over the region, (San Vicente and Valencia de

Alcántara.Mérida,Cáceres,etc...) produces basically cork for wine bottles and

insulating panels.

• Metallurgy: Most of it consists of foundries and structures for construction

business, to be found in all the main Extremaduran towns.

TERTIARY SECTOR

It is the highest job-creating and income-producing sector in Extremadura (60.5% of

regional GNP).

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COMMERCE.

Inner commerce.Two kinds coexist:

• Traditional commerce,family-oriented and focused on food and textile products.

• Big commercial areas,lately established but quite developed, attracting most of the

Extremaduran population.

• Street markets,that take place once a week in very other town,selling mainly articles

of first necessity at reasonable prices,as they are usually sold by the producers

themselves.

Outer commerce. Extremaduran commercial balance shows deficit,since our

importations are bigger then our exportations. Our region keeps close commercial ties

with Portugal, France, the United Kingdom, Germany and Italy.

TOURISM

This economic activity has grown consideably in the last decades. Rural and

cultural tourism are salient,due the richness of our historical and artistic heritage,as in the

cities of Mérida,Guadalupe and Cáceres as well as monasteries like Yuste, King Charles

V's last residence.

Also, in Extremadura another type of tourism has a strong presence, related

to high quality spas and hydrotherapy and feasts and traditions, such as the carnivals in

Badajoz and Navalmoral de la Mata.

Touristis flows

The number of tourists received and overnight stays in our region has steadily

grown over the past years. In 2011 the number of the former went over 1.2 million people,

a historical top figure as well as overnight stays, well over 2 million.

Aside from these figures,Extremadura can boast a huge cultural heritage,in as

much as three of our cities have been declared World Heritage cities,a distinction

bestowed upon Cáceres in 1986 and upon Mérida and Guadalupe in 1993.The former

counts on one of the most impressive and best kept monumental cities in the Iberian

Peninsula and Europe, and was declared in 1968 third Monumental city in Europe, only

surpassed by Prague and Tallinn.

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TOURISTIC FACILITIES IN EXTREMADURA

In Extremadura there are seven four-star “Paradores” (these are luxury state-

owned hotels, renowned by being placed in historic buildings and offering gourmet

food),197 hotels, 234 hostels,60 boarding houses,31 campsites,59 rural hotels,199 rural

apartments and 384 boarding cottages.

Summarizing, on analizing the economic position of Extremadura the main

liabilities are our high unemployment rate, the thinness of our industry on the ground, as

well as the low development of our R+D+i and the strong dependence of our economy on

services and food and agriculture sector. It is by all means vital to increase, and

dramatically at that, the investment in education and on labour policies that favour

investment and training for innovation and development of renewable energies such as

eolic, solar or bio-mass production, which are highly promising.

*The dehesa is an agricultural and cultural

landscape typical of Extremadura and in

general of Southern Spain and Portugal. For

more information,see:

http://en.wikipedia.org/wiki/Dehesa_(pastoral_management)

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TURKEY

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Industry in Turkey

The first starting point of Industry in Otoman Empire is started at 18 century. There

were paper, fabric, printing ,tile factories; shipyards and armories followed them. But

unfortunately due to war, rivalry forces etc. They couldn’t achieve success as intented before

until the first years of Republic.

The most important progress in Republic of Turkey was the first İzmir Economic

Congress in 1923, than 1927 promotion of industrial law. Throughout the years agriculture

factories are founded nearby the raw materials. Other factories are founded to, Turkish people

started to export product than ındustry developped. Today there are a lot of Industrial building

are spreaded to much of Turkey’s areas.

Food Industry Milk Industry

Textile and cloth Industry Leather Industry and carpet

Mine Industry Machine Industry

Food industries are growing an

important industry branch in Turkey.

Biskuits and chocolate factories are

manifacturing with modern method.

Milk factories, olive oil and sunflower oil

factories enhancing their manufacturing.

This goods are use local bazaar and out

countries. This goods sending to Europe, old

soviet republics and middle east countries.

Textil industry is very important for

Turkey. These fairly quality products sending to

Europe and America.

Our leather industry produce very

quality dress and shoes.

These dress and shoes sending to Europe

and America.

The carpets was made with hand

formerly. We making to these carpets

with modern method and machines now.

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Chemical Industry Ceramic and porcelain

Writen by Mrs Emine KARABACAK

Mrs Selcan BAĞCI

Our Mine industry producting to

iron, steel, copper. also boron mine very

important for we. Because boron is 75%

producing in turkey on the world. Boron is

important producing export for Turkey.

Machine industry a developing

industry in turkey at last years.

These are making important workings in

Turkey and other countries.

Chemical industry is an important industry

for turkey . These factories making very

export .

There are glass factories in İstanbul and

Sinop. These glass selling at domestic

bazaars and other countries.

Ceramic and porcelain factories making

product in istanbul and Kütahya. These

products are famous in Turkey and in

world.

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HISTORY OF KARAMAN'S ECONOMY

Karaman was an imporant capital center in Middle Anatolia at medieval age. There were

some traders and art masters in the city because of the city was the capital city of Karamanoğlu

seigniory. Muslims and christians people lived in here. The city were on trade routes.

Karamanoğulları Seigniory were disposed by Ottoman empire at 1352. Some trades and art masters

went to İstanbul. The trade life finished with immigration. This recession continued to 1970. İt was

the cotton factory helping regain economic power. Other factories opened at 1990. There are big

and little 99 factories in Karaman. 9000 people are working these in factories.

AGRICULTURE ON KARAMAN

Karaman lands are convenient only 36% for

agriculture. The climate is important for agriculture

manufacture. Wheat Cultivation is done North of

Karaman. Because there are continental climate in

here. Vegetable and fruits Cultivation at wetland areas

and valleys.

Karaman is apple cultivation champion in Turkey.

These apples are sold in local bazaars and sent to middle

Asia, Middle east and North Africa. Some apples and grapes are

made fruit Juice at factories in Karaman.

Ermenek Town lands and

Göksu Valley is suitable for olives,

vegetables and fruits. There are

meditarranean climate.

Sugar beet cultivation is

source of income in

Karaman

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LIVESTOCK ON KARAMAN

Livestock is very important for some families living in Karaman’s villages. Usually these

families feeds sheep and goat and these families live on Toros mountain villages. Chickens are feeded

at little farms near Karaman. These eggs and chicken aren’t sent other cities. These are only for local

bazaars. Recent agriculture is devolopped as hobby. Some people and families manifacture with

agiculture. Therefore honey manifacture İncreased in recent years.

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industry of Karaman

Industry is about to development at Karaman. There are many factories in Karaman. These

factories manifacturing food. There are some factory for manufacturing agriculture machines. 8500

people are working in this factory. There are 5 biscuit factories in Karaman. These are manifacturing

biscuits sold to middle Asia countries, middle east countries and North Africa countries. Some biscuits

sold at local bazaars and in Turkey’s bazaars. A lot of people come to this factories from nearby

villages and towns to work with service buses. A lot of people living in the villages immigrate to

Karaman for work these factories. Therefore the number of people living in the villages decrease

more and more.

MINNING IN KARAMAN

There aren’t many mine in Karaman lands. There are many brown coal mine in Ernemek Town

lands. There are 750-1000 people working at these mines.

Writen by Mr Rahim ÖZKAYA - Mrs. Ayşe Eda KARADENİZ

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FINLAND

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The Finnish economy – from hunger country to welfare society

1860-1910

The Finnish still starved in 1860. 1879 a law was

legislated, which allowed the advancement of industry

and other livelihoods. In the 19th century, it was typical

for the Finnish society to have fast population growth,

big income difference, poverty and weak productivity of

work. Agriculture was the most important livelihood

and Finns didn’t have much money.

Industrialization started in the end of the 19th century. At the same time the development of the cities

started too. Forestry gave a push to the economic growth. Agriculture changed to dairy cattle

economy. The standard of living grew considerably in the beginning of the 20th century.

In the beginning of the 20th century farmers mostly ate bread, milk and potato. Cheese, vegetables

and meat or fish were also eaten in worker families. When salaries grew, people started to buy

clothes. Earlier they had made clothes themselves.

The First World War-1940

The First World War stopped the favorable development. The war continued longer than it was

thought at first. That’s why there was a shortage of

groceries. In 1917 there was a general strike in Finland

and demonstrations were held. Food had to be

regulated. In the

end of 1919 the

grocery

situation started

to get better. Stockmann’s new and handsome department

store was opened in Helsinki 1930. It was a symbol of a

modern world. Also first store on wheels came to traffic.

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New consumer goods such as radio, telephone, turntable and car came to the market. Advertising

also became popular. The Second World War also cut economy growth in Finland. Finns had to

regulate food and groceries again. Thanks to voluntary work, home front was able to survive

through regulating.

1950-1990

In 1950, most of the Finnish people got their incomes

from forests and farming, and about 70% lived in the

countryside. People slowly started to move away from

countryside to cities and started to work in factories

instead of fields. West Europe’s rebuilding and better

global economy after the Second World War made

living better in Finland too.

Consumption was doubled by the year 1952. In the 1950’s Finland started to change to consumption

society. Its breakthrough happened in the next 20 years. Toilets, water pipes and drains started to

become general. People bought house hold machines, for example fridges and vacuum cleaners.

In the 1950’s, Finnish industrial design became popular and well- known

all over the world. Food’s part of the

consumption of money was 10%

lower in 1965 than in 1950,

which reflects that the standard

of living was growing. Traffic’s

and amusement’s parts grew in

the 1950’s. People were into

movies, light music, radio and dancing evenings. In the

end of the 50’s the regular TV shows started in Finland. Travelling started to become common

slowly, even though travelling abroad was minor. In the 1960’s Finns started to travel abroad more.

The building of the welfare society proceeded in our country bit by bit. The renewal of the national

pension system in 1950’s was the biggest project while creating welfare. 1960’s was the decade of a

big change of structure. The structure of consumption changed and even a bigger part of

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consumption was spent in traffic, accommodation, refreshment and other

consumption. In the half way of the decade had already 75% of the Finns a

television.

The 1960’s was the decade of cars. Bringing the cars was released from distribution in 1962. In the

end of the decade our country had 700,000 registered cars.

The consumption of popular entertainment had multiplied

remarkably last decade. Youngsters became clearly

remarkable consumers. During the year 1966 the number of

workers in industry passed the number of workers in

agriculture. In 1980’s

the physical wealth multiplied. Stereos, microwaves, videos

and waterbeds was bought in more and more houses. Until

1990 over 90% of the households owned a television, vacuum

cleaner and over 80% a telephone and a washing machine.

But almost every house owned a fridge or a freezer, a car and

stereos.

Economic depression in the beginning of the 1990’s cut the ongoing progression. Bankruptcies and

unemployment reached heights that hadn’t seen before. However, Finland pulled through the

depression and is doing physically well. In the end of the 1990’s the consumption increased. The

effects of the depression showed for a long time. The decreasing unemployment has been painfully

slow and the mental

sickness and

displacement has

awoken a lot of

discussion.

21st century

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At the beginning of the new century, Finland is in many ways more developed country than 20

years ago. The country has opened to Europe and life is full of chances. National contest skills are

good and Finland has succeeded to profile itself as a hi-tech expert. Finland is well-known for

Nokia and cell phones but also for Internet and other information technology. Dozens of tiny,

usually youngster bossing innovating companys are almost international and they are going to raise

Finland to success.

The ability to change fast is both an advantage and a disadvantage to Finland. Because of our ability

we have adopted the use of e-mail, cellphones and the internet faster than other Middle-European

countries. The advantage on these areas has been able to turn into international competition

advantage.

In the world of limitless competition the companies and experts can easily move from one country

to another. In the view of Finland the big question is how to set up taxation and service prices so

that the experts of the branch will stay in Finland.

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The short history of the Finnish money

Finland got its own money in 1860 while Finland was under Russians power. People organized a competition about currencys name; other ideas for currencys name were for example sataikko, äyri and suomo, but the name “markka” was chosen; Mark split up to hundred pennies.

Silver mark used in years 1864- 1915.

One mark bill in 1860.

Mark became an independent currency in 1865 and in 1878 it had the same value as the French frang, Switzerland’s frang and the Italian lira. At the same time mark coins were golden. People didn’t often pay with golden coins after all Finland’s banks bills weren’t legal as a payment, even though everyone accepted them as a payment.

Golden coins from 1878. There is Russian’s emperors symbol, two headed eagle.

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On the front side of the penny was a lion escutcheon, which replaced the Russian two-headed eagle.Backsides oak sprigs changed to corn ears and confiner branchs, which described the economic life of Finland.

In 1963 was a money reformation, and old mark was replaced with a new mark. It was worth 100 old marks.

Marks from years 1953 and 1954.

A mark coin from year 1983. A five mark coin from year 1950.

The last mark coin serie from years 1990 and 1993.

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A mark bill from year 1963.

A bill from 1975, with a picture of Finland’s long influencing president, Urho Kekkonen.

A bill from year 1987, with a picture of a succesful finnish long distance runner, Paavo Nurmi.

A bill from year 1986, with Anders Chydenius in the picture

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From Mark to Euro 1. January 1999 Finland’s mark was united with European Union’s common currency – the euro. One euro was worth 5, 84573 marks. In the beginning of 2002 the first euro coins and bills were issued. The use of marks expired in 28.2.2002.

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ROMANIA

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ŞCOALA

GIMNAZIALĂ

VĂDENI

ECONOMY OF ROMANIA

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Romania has a developing, upper-middle income market economy, the 17th largest in

the European Union by total nominal GDP and the 13th largest based on purchasing power parity. The collapse of

the Communist regime in 1989, reforms in the 2000s (decade) and its 2007 accession to the European Union have led to an improved economic outlook.

Romania has experienced growth in foreign investment with a cumulative FDI totaling more than $170 billion since 1989.

Up until the late 2000s financial crisis, the Romanian economy has been referred to as a "Tiger" due to its high growth rates and rapid development.

Until 2009, Romanian economic growth was among the fastest in Europe (officially 8.4% in 2008 and more than three times the EU average). The country is a regional leader in multiple

fields, such as IT and motor vehicle production, Bucharest, the capital city, is one of the largest financial and industrial centres in Eastern Europe.

History

Before World War II

After World War I, the application of radical agricultural reforms and the passing of a

new constitution created a democratic framework and allowed for quick economic growth (industrial production doubled between 1923–1938, despite the effects of theGreat Depression).

With oil production of 7.2 million tons in 1937, Romania ranked second in Europe and seventh in the world. The oil extracted from Romania was essential for the German war campaigns. Before World War II, Romania was Europe's second- largest food producer.

Economy during 1944–1989

After the Second World War, Romania became a member of the Eastern Bloc, and switched to a socialist-style command economy. During this period the country experienced rapid

industrialization in an attempt to create a "multilaterally developed socialist society". Economic growth was further fueled by foreign credits in the 1970s, but this eventually led to a growing foreign debt, which peaked at $11–12 billion.

Romania's debt was largely paid off during the 1980s by implementing severe austerity measures which deprived Romanians of basic consumer goods. In 1989, before the Romanian Revolution,

Romania had a GDP of about 800 billion lei, or $53.6 billion. Around 58% of the country's gross national income came from industry, and another 15% came from agriculture.[21]The minimum wage was 2,000 lei, or $135.

Free market transition

Privatization of industry was pursued with the 1992 transfer of 30% of the shares of some 6,000 state-owned enterprises to five private ownership funds, in which each adult citizen

received certificates of ownership. The remaining 70% ownership of the enterprises was transferred to a state ownership fund, with a mandate to sell off its shares at the rate of at least 10% per year. The privatization law also called for direct sale of some 30 specially selected

City Gate Towers – Bucharest, Romania

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enterprises and the sale of "assets" (i.e., commercially viable component units) of larger

enterprises. As of 2008, inflation stood at 7.8%, up from 4.8% in 2007 estimated by the BNR at

coming within 6% for the year 2006 (the year-on-year CPI, published in March 2007, is 3.66%). Also, since 2001, the economy has grown steadily at around 6–8%. Therefore, the PPP per capita GDP of Romania in 2008 was estimated to be between $12,200 and $14,064.

Financial and technical assistance continued to flow in from the U.S., European Union, other industrial nations, and international financial institutions facilitating Romania's

reintegration into the world economy. The International Monetary Fund (IMF), World Bank (IBRD), the European Bank for Reconstruction and Development (EBRD), and the U.S. Agency for International

Development (USAID) all had programs and resident representatives in Romania. Romania also

attracted foreign direct investment, which in 2008 rose to $72 billion. Romania was the largest U.S. trading partner in Central-Eastern Europe until Ceauşescu's

1988 renunciation of Most Favored Nation (non-discriminatory) trading status, the latter of which resulted in high U.S. tariffs on Romanian products. Congress approved restoration of the MFN status effective 8 November 1993, as part of a new bilateral trade agreement. Tariffs on most

Romanian products dropped to zero in February 1994 with the inclusion of Romania in the Generalized System of Preferences (GSP). Major Romanian exports to the U.S. include shoes and

clothing, steel, and chemicals. Romania signed an Association Agreement with the EU in 1992 and a free trade agreement

with the European Free Trade Association (EFTA) in 1993, codifying Romania's access to European

markets and creating the basic framework for further economic integration. At the Helsinki

Summit in December 1999, the European Union invited Romania to formally begin accession

negotiations. In 2002, the target date of 2007 was set for Romania, along with Bulgaria, for its accession efforts. This was confirmed in 2003 at the Thessaloniki Summit and then in early 2005 Romania and Bulgaria signed the adherence treaty to EU. They formally joined the EU on 1

January 2007. During the latter part of the Ceauşescu period, Romania earned significant credits from

several Arab countries, notably Iraq, for work related to the oil industry. In August 2005, Romania agreed to forgive 43% of the US$1.7 billion debt owed by an Iraq still largely occupied by the military forces of the U.S.- led "Coalition of the Willing", making Romania the first country

outside of the Paris Club of wealthy creditor nations to forgive Iraqi debts. Growth in 2000–07 was supported by exports to the EU, primarily to Italy and Germany,

and a strong recovery of foreign and domestic investment. Domestic demand is playing an ever more important role in underpinning growth as interest rates drop and the availability of credit cards and mortgages increases. Current account deficits of around 2% of GDP are beginning to

decline as demand for Romanian products in the European Union increases. Recent accession to the EU gives further impetus and direction to structural reform.

In early 2004 the government passed increases in the Value Added Tax (VAT) and tightened eligibility for social benefits with the intention to bring the public finance gap down to 4% of GDP by 2006, but more difficult pension and healthcare reforms will have to wait until

after the next elections. Privatization of the state-owned bank Banca Comercială Română took place in 2005. Intensified restructuring among large enterprises, improvements in the financial sector,

and effective use of available EU funds is expected to accelerate economic growth. However, the Romanian economy was affected by the Financial crisis of 2007–2008 and contracted in 2009.

Page 62: Let's learn about... Economy

Romania's GDP drop during the 1990s

EU membership (2007)

On 1 January 2007 Romania entered the EU. This led to some immediate international

trade liberalization, but there was no shock to the economy. The government is running annual surpluses of above 2%.

This is to be contrasted with enormous current account deficits. Low interest rates guarantee availability of funds for investment and consumption. For example, a boom in the real estate

market started around 2000 and has not subsided yet. At the same time annual inflation in the

economy is variable and during the mid-2000s (2003–2008) has seen a low of 2.3% and high of 7.8%.

Most importantly, this poses a threat to the country's accession to the Eurozone. The Romanian governmentinitially planned for the euro to replace the leu in 2012. However, experts predict that this might happen as late as in 2014. From a political point of view, there is a

trade-off between Romania's economic growth and the stability required for early accession to the monetary union. Romania's per-capita PPP GDP is still only about a 40% of the EU average,

while the country's nominal GDP per capita is about 25% of the EU average. In the winter of 2004 the government introduced a flat tax of 16% that was introduced on

1 January 2005. This is done in hope for higher GDP growth and greater tax collection rates. The

reform, which some called a "revolution" in taxation, was met with mild discussions and some protests by affected working classes. Romania subsequently enjoyed the lowest fiscal burden in the European Union, until Bulgaria also switched to a flat tax of 10% in 2007.

The accession of Romania to the European Union has given the Union access to the Black

Sea.

The GDP of Romania between 1870 and 2008 in 1990

International dollars.

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2009 IMF loan

At the end of March 2009 Romania signed a deal for 20 billion Euro in loan: 12.95 Billion

Euro will come from the IMF; 5 Billion Euro will come from the European Union; 1.5 Billion – from the World Bank and about 1 Billion – from other international financial institutions. The interest paid by Romania will be 3.5% per year. In return for the loan, Romanian has committed

to severe cuts in public spending and wages. One year later, the government cut civil servants' wages by 25%, while thousands of state jobs were axed and VAT was increased by 5% to 24%.

The economy

In the Romanian press the economy has been referred to as the "Tiger of the East" during

the 2000s. Romania is a country of considerable economic potential: over 10 million hectares of agricultural land, diverse energy sources (coal, oil, natural gas, hydro,nuclear and wind), a

substantial, if aging, manufacturing base and opportunities for expanded development in tourism on the Black Sea and in the mountains.

National budget

The national budget for 2013 was 230 billion lei (69.38 billion dollars), which represents

32.9% from the GDP according to the Ministry of Finance. National budget was increasing rapidly before the financial crisis, about 8 billion dollars each year for the interval of time 2005–2009. The national defense budget was around 2.38% of the GDP and was estimated at US$4.78 billion

for 2008.

Economic growth

GDP growth reached 8.3% in 2006 according to the statistical office of the Romania (the year-to-year growth amounted to unexpected 9.8% in the 3rd quarter of 2006 and stayed high at 9.5% year-to-year change in the 4th quarter of 2006), and 8.0% in 2007. Table showing

selected PPP GDPs and growth – 2007 to 2014 estimations, as of October 2013.

Year GDP

in billions of USD PPP % GDP Growth

2007 246.750 +6.317

Member State

sorted by GDP

GDP

inbillions

of US$

(2010)

GDP

% of EU

(2010)

Annual

change

% of

GDP

(2010)

GDP

per capita

in PPP US $

(2008)

Public

Debt

% of GDP

(2010)

Deficit

% of GDP

(2010)

Inflation

% Annual

(2010)

Unemp.

%

(2010)

European

Union 14,940 100.0% 0.9 33,700 63.8 −2.6 3.5 7.2

Romania 262 2.0% 1.5 14,400 21.2 -4.0 5 4.4

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2008 270.056 +7.349

2009 254.240 −6.576

2010 254.361 −1.149

2011 264.953 +2.158

2012 271.441 +0.689

2013 (est.) 280.658 +3.5

2014 (est.) 291.401 +2.156

Romania's Gross Domestic Product at purchasing power parity (PPP) is predicted to stand at $16,982.323 per capita in 2015, when the country is expected to join the Eurozone. If this

estimation proves correct, Romania will surpass Turkey, Bulgaria and Venezuela in this aspect.

Growing middle class

Romania has growing middle and upper classes with relatively high per capita incomes. World Bank estimated that in 2002 99% of the urban and 94% of the rural population

had access to electricity. In 2004, 91% of the urban and only 16% of the rural population had access to improved water supply and 94% of the urban population had access to improved

sanitation. In 2007 there were about 19.5 million mobile phone users in Romania and about 7 million internet users.

The net average monthly wage was 1,617 lei (€387) in March 2013. The net average

monthly wage was 1,192 lei (roughly 380 USD) in March 2008, rose to 1,352 lei (430 USD) in 2009 and is expected to reach 1,819 lei (570 USD) by 2013. The income from salaries in

Romania had the highest growth rate in the region during 2006. Despite recent growth Romania still has the lowest net average monthly wage in the European Union.

Romania's Nominal GDP per capita per countyin 2012 Romania's Net Salary per county in 2012

Currency

The leu (pronounced [ˈlew]), plural: lei ([ˈlej]); ISO 4217 code RON; numeric code 946) is

the currency of Romania. It is subdivided into 100 bani (singular: ban). On 1 July 2005, Romania underwent a currency reform, switching from the previous leu (ROL) to a new leu (RON). 1

Page 65: Let's learn about... Economy

RON is equal to 10,000 ROL. Romania joined the European Union on 1 January 2007 and

initially hoped to adopt the euro in 2014, but with the deepening of the Euro crisis and with its own problems, such as a low workforce productivity, postponed its adoption plans indefinitely.

The fulfillment of the Maastricht criteria

Romania, as a member state of the European Union is liable for the adoption of the

common European currency, the Euro. For this reason Romania must fulfill the Maastricht criteria. Romania meets 2 out of the 5 criteria.

Criterion fulfilled

Criterion potentially fulfilled: If the budget deficit exceeds the 3% limit, but is "close" to this value

(the European Commission has deemed 3.5% to be close by in the past), then the criteria can still

potentially be fulfilled if either the deficits in the previous two years are significantly declining towards the

3% limit, or if the excessive deficit is the result of exceptional circumstances which are temporary in nature

(i.e . one-off expenditures triggered by a significant economic downturn, or by the implementation of

economic reforms that are expected to deliver a significant positive impact on the government's future fiscal

budgets). However, even if such "special circumstances" are found to exist, additional criteria must also be

met to comply with the fiscal budget criterion. Additionally, if the debt-to-GDP rat io exceeds 60% but is

"sufficiently dimin ishing and approaching the reference value at a satisfactory pace" it can be deemed to be

in compliance.

Criterion not ful filled

Convergence criteria

Assessment month Country

HICP inflation

rate (12-months

av erage

of annual

rates)[nb 1]

Budget deficit to GDP

Debt-to-GDP ratio

ERM II member

Long-

term interest rate

(12-months average

of 10yr bond

yields)[nb 2]

2012 ECB Report[nb 3]

Reference values

max.

3.1%[nb 4] (as of 31 Mar

2012)

max. 3.0% (Fiscal year 2011)

max. 60%, or

decreasing (Fiscal year

2011)

min. 2 years

(as of 31 Mar

2012)

max. 5.80%[nb 5]

(as of 31 Mar 2012)

Romania

4.6% 5.2% 33.3% No 7.25%

April 2013

Reference values

max.

2.5%[nb 6][nb 7]

(as of 31 Mar

2013)

max. 3.0% (Fiscal year 2012)

max. 60%, or

decreasing (Fiscal year

2012)

min. 2 years

(as of 31 Mar

2013)

max. 4.81%[nb 6][nb 8]

(as of 31 Mar 2013)

Romania

3.9% 2.9% 37.8% No 6.43%

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Natural resources

Romania is an oil producer, but the current level of production isn't enough to make the

country self-sufficient. Although at one time it was Europe's largest producer of oil, most of its reserves were used and squandered during the Nicolae Ceauşescu period. As a result, it is today a net oil and gas importer.

The pipeline network in Romania included 2,427 km for crude oil, 3,850 km for petroleum

products, and 3,508 km for natural gas in 2006. Several major new pipelines are planned,

especially the Nabucco Pipeline for Caspian oilfields, the longest one in the world. Romania could cash in four billion dollars from the Constanta-Trieste pipeline.

Romania has considerable natural resources for a country of its size, including coal, iron

ore, copper, chromium, uranium, antimony, mercury, gold, barite, borate, celestine (strontium), emery, feldspar, limestone, magnesite, marble, perlite, pumice, pyrites (sulfur), clay, arableland and hydr

opower. Romania's mineral production is adequate to supply its manufacturing output. Energy

needs are also met by importing bituminous and anthracite coal and crude petroleum. In 2007

approximately 34 million tons of coal, approximately 4,000 tons of tungsten, 565,000 tons of iron ore, and 47,000 tons of zinc ore were mined. Lesser amounts of copper, lead, molybdenum, gold,

silver, kaolin, and fluorite also were mined.

Energy

The energy sector is dominated by state-owned companies such as Termoelectrica, Hidroelectrica and Nuclearelectrica. Fossil fuels are the country's primary source of energy, followed by hydroelectric power; Romania has an estimated hydropower capacity of

36,000 GW per year. Due to dependency on oil and gas imports from Russia, the country has placed an increasingly heavy emphasis on nuclear energy since the 1980s.

The Cernavodă Nuclear Power Plant is currently the only one of its kind in Romania,

although there are plans to build a second one in Transylvania, possibly after 2020.

The Iron Gate I Hydro Power Plant, a joint venture between Romania and Serbia. Wind power

Wind power had an installed capacity of 76 MW in 2008, and the country has the largest wind power potential in Southeast Europe, with Dobruja listed as the second best place in Europe

to construct wind farms. As a result, there are currently investor connection requests for over

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12,000 MW. There are also plans to build a number of solar power stations, such as the Covaci

Solar Park, which will be one of the largest in the world. Of the electricity generated in 2007, 13.1 percent came from nuclear plants then in

operation, 41.69 percent from thermal plants (oil and coal), and 25.8 percent from hydroelectric sites.

Physical infrastructure

The volume of traffic in Romania, especially goods transportation, has increased in recent years due to its strategic location in South-East Europe. In the past few decades, much of the

freight traffic shifted from rail to road. A further strong increase of traffic is expected in the future.

As of December 2012, there are only 527 km of motorways in use. At present 369 km of

motorways are under construction with an estimated timetable in 2013-2016. The railway network, which was significantly expanded during the Communist years, is the fourth largest in Europe.

Bucharest is the only city in Romania which as of 2009 has an underground railway system, comprising both the Bucharest Metro and the light rail system managed by Regia Autonomă

de Transport Bucureşti. Although construction was planned to begin in 1941, due to geo-political

factors, the Bucharest Metro was only opened in 1979. Now it is one of the most accessed systems of the Bucharest public transport network with an average ridership of 800,000 passengers

during the workweek. In total, the network is 67 km long and has 49 stations.

A1 motorway near Sibiu. The Bucharest Metro

Sectors of the economy

Agriculture

Agriculture employs about 29% of the population (one of the highest rates in Europe), and

contributes about 8.1% of GDP. The Bărăgan is characterized by large wheat farms. Dairy products, pork, poultry, and apple production are concentrated in the western region.

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Beef production is located in central Romania, while the production of fruits, vegetables,

and wine ranges from central to southern Romania. Romania is a large producer of many agricultural products and is currently expanding its forestry and fishery industries. The

implementation of the reforms and the Uruguay Round of the General Agreement on Tariffs and

Trade (GATT) have resulted in reforms in the agricultural sector of the economy.

A land usage map of Romania

Fishing

Fishing is an economic mainstay in parts of the East of Romania and along the Black Sea

coast, with important fish markets in places such as Constanta and Galati. Fish such as herring, crab, lobster,haddock and cod are landed at ports such as Constanta.

There has been a large scale decrease in employment in the fishing industry within Romania due to the EU's Common Fisheries Policy, which places restrictions on the total tonnage of catch that can be landed, caused by overfishing in the Black Sea. In tandem with the decline of

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sea-fishing, commercial fish farms – especially in salmon, have increased in prominence in the

rivers and lochs of the east of Romania. Inland waters are rich in fresh water fish such as salmon and trout.

Industry

Romania has been successful in developing its industrial sector in recent years. Industry and construction accounted for 32% of gross domestic product (GDP) in 2003, a comparatively large share even without taking into account related services. The sector employed 26.4% of the

workforce. Romania excels in the production of automobiles, machine tools, and chemicals. Motor vehicle production tripled in the 2000s (decade), but still lags behind neighbouring countries such

as Hungary or Ukraine. In 2004 Romania enjoyed one of the largest world market share in machine tools (5.3%). Romanian-based companies such as Dacia, Petrom, Rompetrol, Bitdefender,

Romstal and Mobexpert have expanded operations throughout the region. However, small-to medium-sized manufacturing firms form the bulk of Romania's industrial sector.

Romania's industrial output is expected to advance 9% in 2007, while agriculture output is projected to grow 12%. Final consumption is also expected to increase by 11% overall – individual consumption by 14.4% and collective consumption by 10.4%. Domestic demand is

expected to go up 12.7%. Industrial output growth was 6.9% year-on-year in December 2009, making it the highest

in the EU-27 zone which averaged −1.9%.

Services

In 2003 service sector constituted 55% of gross domestic product (GDP), and the sector employed 51.3% of the workforce. The subcomponents of services are financial, renting, and

business activities (20.5%); trade, hotels and restaurants, and transport (18%); and other service

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activities (21.7%). The service sector in Romania has expanded in recent years, employing some

47% of Romanians and accounting for slightly more than half of GDP. The largest employer is the retail sector, employing almost 12% of Romanians. The retail

industry is mainly concentrated in a relatively small number of chain stores clustered together in shopping malls. In recent years the rise of big-box stores, such as Cora (hypermarket) (of the France) and Carrefour (a subsidiary of the French), have led to fewer workers in this sector and a

migration of retail jobs to the suburbs.

Regional variation

The strength of the Romanian economy varies from region to region. GDP, and GDP per

capita is highest in Bucharest. The following table shows the GDP (2005) per capita of the 4 counties and 2 areas, with data supplied by Eurostat.

Rank Place GDP per capita

in dollars

1 Bucharest 27,344

2 Cluj 26,934

3 Timiş 25,121

4 Braşov 24,788

5 Constanţa 24,696

The highest GDP per capita is found in Bucharest and surrounding Ilfov County.Values well above the national average are found in Timiş, Argeş, Braşov, Cluj, Constanţa, Sibiu and Prahova. Values well below the national average are found in: Vaslui, Botoşani, Călăraşi, Neamţ,

Vrancea, Suceava, Giurgiu, Mehedinţi, Olt and Teleorman.

Foreign trade

Italy is Romania's largest trading partner; two-way trade totalled some $22.6 billion in 2007. The principal exports from Italy to Romania include computers, integrated circuits, aircraft parts and other defense equipment, wheat, and automobiles, along with remittances. Romania's

chief exports to Italy include cut diamonds, jewelry, integrated circuits, printing machinery, and telecommunications equipment. 2.8% of the country's GDP is derived from Agricultural activity.

While Romania imports substantial quantities of grain, it is largely self-sufficient in other agricultural products and food stuffs, due to the fact that food must be regulated for sale in the Romania retail market, and hence imports almost no food products from other countries.[

Romania imported in 2006 food products of 2.4 billion euros, up almost 20% versus 2005, when the imports were worth slightly more than 2 billion euros. The EU is Romania's main

partner in the trade with agri- food products. The exports to this destination represent 64%, and the imports from the EU countries represent 54%. Other important partners are

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the CEFTA countries, Turkey, Republic of Moldova and the USA.[72] Despite a decline of the

arms industry in the post-communist era, Romania is a significant exporter of military equipment, accounting for 3–4% of the world total in 2007. EU members are represented by a single official

at the World Trade Organization. During the first trimester of 2010, Romanian exports increased by 21%, one of the largest

rates in the European Union, surpassed only by Malta. The trade deficit currently stands at

roughly 2 billion EUR, the eighth largest in the EU.

A chart of Romania's export products.

Miscellaneous data

Households with access to fixed and mobile telephone access

landline telephone – 46% (2009)

mobile telephone – 72% (2009)

Broadband penetration rate

13% (2010)

Individuals using computer and internet

computer – 44% (2009)

internet – 37% (2009)

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Economy in our county, Hunedoara General presentation

Hunedoara County is located in the central-western part of Romania, in the historical

Province of Transylvania. Surface : 7063 km2 Population: about 486.000 inhabitants

Administrative Center: DEVA, in the center of the county with about 75.000 inhabitants. The main economical branches are: production and distribution of electric energy,

extractive industry, metallurgy, vehicle engineering, electric wirings for cars, constructing materials, tourism, services, fabrics/ leather goods, animal breeding.

The reforms imposed by our membership to the European Union have radically

transformed the economy of our county. The metallurgy and mining activities that were important branches until the middle of decade 1990 – 2000, have been restructured so that only

profitable mines have been kept active the others being closed or passed in conservation. The Iron & Steel Complex, one of the biggest in our country is now the property of the

English Indian LNM Holdings.

Inside the territory of the county, close to Deva City, it is located the most performing thermo-electric power station in Romani, at Mintia.

On the Big River from the Retezat Mountains, a hydro-electric power station is in use,

and another thermo-electric power station is active in the Jiul Valley, at Paroseni. Still close to Deva City is active one of the most modern Cement Plant belonging to the Carpat Cement Group.

At Simeria, the Marmosim SA Trade Company is one of the biggest producers of marble. The extracted marble from the

Ruschita Quarry rivals to the rock from Italy, Spain or

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Portugal.

The concept promoted by the Hunedoara County Council is that of sustainable and

lasting development, with the aim of creating jobs, increasing the people income and improving the life standard.

The economy of Romania

Agriculture employs about 29% of the population (one of the highest rates in Europe), and

contributes about 8.1% of GDP. The Bărăgan is characterized by large wheat farms. Dairy products,

pork, poultry, and apple production are concentrated in the western region.

Beef production is located in central

Romania, while the production of fruits, vegetables, and wine ranges from central to southern Romania.

Romania is a large producer of many agricultural products and is currently expanding its forestry and fishery industries.

Fishing is an economic mainstay in parts of the East of Romania and along the Black Sea coast, with important fish markets in places such as Constanta and Galati. Fish such as herring,

crab, lobster, haddock and cod are landed at ports such as Constanta. There has been a large scale decrease in employment in the fishing industry within

Romania due to the EU's Common Fisheries Policy, which places restrictions on the total tonnage

of catch that can be landed, caused by overfishing in the Black Sea. In tandem with the decline of sea-fishing, commercial fish farms – especially in salmon, have increased in prominence in the

rivers and lochs of the east of Romania. Inland waters are rich in fresh water fish such as salmon and trout.

Industry and construction accounted for 32% of gross domestic product (GDP) in 2003, a

comparatively large share even without taking into account related services. The sector

employed 26.4% of the workforce.

Romania excels in the production of automobiles, machine tools, and

chemicals. Motor vehicle production tripled in the 2000s

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(decade), but still lags behind neighbouring countries such as Hungary or Ukraine.

Romanian-based companies such as Dacia, Petrom, Rompetrol, Bitdefender, Romstal and

Mobexpert have expanded operations throughout the region. However, small- to

medium-sized manufacturing firms form the bulk of

Romania's industrial sector. Romania's industrial output is expected to advance 9%

in 2015, while agriculture output is projected to grow 12%. Final consumption is also expected to increase by 11% overall – individual consumption by 14.4% and collective consumption by 10.4%. Domestic demand is expected to go up 12.7%.

Industrial output growth was 6.9% year-on-year in December 2009, making it the highest in the EU-27 zone which averaged −1.9%.

In 2003 service sector constituted 55% of gross domestic product (GDP), and the sector employed 51.3% of the workforce. The subcomponents of services are financial, renting, and business activities (20.5%); trade, hotels and restaurants, and transport (18%); and other service activities

(21.7%). The service sector in Romania has expanded in recent years, employing some 47% of Romanians and accounting for slightly more than half of GDP.

The largest employer is the retail sector, employing almost 12% of Romanians. The retail industry is mainly concentrated in a relatively small number of chain stores clustered together in shopping malls. In recent years the rise of big-box stores, such as Cora (hypermarket) (of the

France) and Carrefour (a subsidiary of the French), have led to fewer workers in this sector and a migration of retail jobs to the suburbs.

Here are some drawings made by our students. This is how they understand economy.

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ESTONIA

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ECONOMIES

ESTONIA

Eduard Kutsar. Painting - Kündja

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Agriculture

Just a couple of generations ago agriculture was the main occupation of the Estonians.

Nowadays only about 3% of the workforce is engaged in agriculture and the sector yields just

slightly more than 3% of the overall production and 1.7 of GPD. As a result of the economic

and property reforms of the early 1990s Estonian collective and state farms became history,

giving way to small farms and associations. The transitional period of the 1990s was a hard

time for agriculture – competition with cheap imported products became an issue,

enterprises needed new equipment and vehicles, but money for it was nowhere to be found.

In the late 1990s it became impossible to export into Russia due to its internal crises, though

it had been the principal sales outlet for the Estonian agricultural produce during the Soviet

era. Joining the European Union was good for Estonian agriculture, because from then on it

was possible to sell food products to other European countries, as there were no longer any

customs or importation restrictions, and the Russian market opened up again, too. Estonian

farmers began receiving various grants that are still significantly smaller than in western

Europe, although manufacturing costs have risen to almost the same level. Recent years

have seen Estonian agricultural enterprises getting bigger. Modern technologies are being

used more and more; there’s almost nothing left of the old manufacturing sector. Almost all

small farms are now history, only advanced large farms are able to survive.

Milk cattle, also pigs and poultry are the main farm animals raised in Estonia. Field crops

include cereal crops, potatoes and vegetables. Plant products are mostly for internal use, a

considerable amount of meat is imported. Some dairy products and some specific products –

e.g. cultivated and wild berries, mushrooms, ecologically pure produce etc -are for export.

The figures of

productivity of the

Estonian agriculture

are surpassed by

those of many

climatically better

situated countries,

but the local produce

contain considerably

less chemicals and

organic farming is

gaining popularity.

Farm in Surju

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Forestry and Related Industries

The forest is among Estonia's most important natural resources and a source of a

considerable amount of raw material. Although just 1% of Estonia's workforce is engaged in

forestry and the branch gives somewhat more than 1% of Estonia's production, it provides

raw material for timber, paper and furniture industries, which make up another 6% of the

overall production and which employ more than 4.5% of the workforce.

The larger part of the output of

Estonia's forestry and related

industries goes for export, whereas

Estonia increasingly exports goods of

a higher value. The production and

export of wooden construction

details, wooden furniture and

wooden houses has been going up

consistently. Estonia is one of the

biggest exporter of wooden houses

in Europe. The main export

destinations are Finland, Sweden,

Germany, Norway and Great Britain. Timber companies are located all over Estonia, a

number of them in small towns or even in villages.

Estonian cellulose and paper industries have a long history, some factories (e.g. in Räpina)

have been in operation since the mid-19th century. Today the raw material comes from local

forests as well as from Russia, Latvia and Lithuania.

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Service sector

More than 71% of the Estonian GDP is derived from the service sectors, industrial sectors

yield 25% and primary branches (including agriculture) approximately 4% of the overall

output. Service sectors experienced a rapid development in the early 1990s as many of them

did not even exist in the Soviet economic system. During the Soviet era the function of a

large part of the plants and factories was

producing goods for the military industry and for

Russia, and their production now proved

unnecessary. Therefore a lot of basic necessities

had to be imported at first. Recent years have

seen the growth of the industry to surpass the

increase of the services sector, which means that

more and more necessary goods can now be

produced locally.

Due to Estonia's smallness it is impossible to locally produce all the products and services

needed by the local people and enterprises. But in order to be able to import them,

something must be exported. That is why export holds such a prominent position for the

Estonian economy and its growth. The volume of export of goods and services amounts to

73% of the Estonian GDP, export of services constitutes about one third thereof. The main

services the export of which brings profit to Estonian enterprises are various services related

to transport and Russian transit but also procceeds from tourism. More than two thirds of

the Estonian industrial production is for export.

About 4 million tourists visit Estonia every year, the majority of them come Finland and stay

for a short period — morning (night) trip from Helsinki to Tallinn, evening (night) trip from

Tallinn to Helsinki. Here they visit shops and service outlets. Tourists who come for a couple

of days also go to the theatre and other places outside Tallinn. The number of tourists from

Sweden and Germany is constantly growing. Tallinn is an important cruise destination at the

Baltic Sea (next to Copenhagen, Stockholm and

St Petersburg), welcoming travellers from

different parts of the world (USA, Great Britain,

etc).

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Currency

Beginning in June 1992, the kroon was the currency in Estonia, with an exchange rate fixed

to the German mark (1 mark = 8 kroons). After the creation of the euro, the kroon was tied

to the euro (with an exchange rate of 1 euro = 15.6466 kroons). In 2011, Estonia joined the

euro zone and the euro became the local currency. Of course it did not occur so easily as

politicians thought: euro and world economical crisis caused a fastest inflation seen in

Estonia during recent years.

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Published by "I.C. Galileo Galilei" Gravellona Toce, Italy