Oradea Journal of Business and Economics

7-30

Authors: Wei-Bin Zhang

The study builds a model of dynamic interactions between the birth rate, the mortality rate, the population, wealth accumulation, time distribution between work, leisure and children caring, habit formation and preference change. The production technology and markets are built on the Solow growth model. We base our modeling the population dynamics on the Haavelmo population model and the Barro-Becker fertility choice model. This study takes account of habit formation and preference change. Although it is influenced by the Ramsey growth theory with time preference and habit formation, it uses Zhang’s approach to the household with habit formation and preference change. We synthesize different dynamic forces in a compact framework, using the utility function proposed by Zhang. Analytically, we focus on transitional processes as well as economic equilibrium. As the economic system is given by autonomous nonlinear differential equations, it is not easy to analyze its behavior. We simulate the model to demonstrate the existence of an equilibrium point and plot the motion of the dynamic system. We examine the effects of changes in weights given to the habit stock of children, the wife’s wage rate having negative impact on the propensity to have children, the wife weighing less the habit stock of leisure time, the wife’s habit stock of leisure time having negative impact on the husband’s propensity to use leisure time, the wife’s wage rate having negative impact on the husband’s propensity to use leisure time, woman’s human capital being improved, a rise in the total factor productivity, and the mother spending more time on each child fostering.

41-50

Authors: Ramona Marinela Simuț, Diana Claudia Perțicaș

The hereby work plans on analysing to what extent the life expectancy is subject to the influence by different markers, like: GDP, the percentage of GDP allocated for the health system, as well as the income level in Romania and Ukraine. We consider that a comparative analysis between the two countries is representative since, as it results from the data and the diagrams presented within the work, both the GDP evolution and the percentage allocated from GDP for the health system reveal a different evolution, ranging in both countries, unlike the life expectancy going through an ascending trend, slow for both cases. Partially considering the specialized literature in use, our attention was drawn towards the evolution of the income obtained by the people. More precisely, commencing from Keynes’ Basic Psychological Law stipulating that along with the income growth the expenditure on health, education and training the human resource will increase, we have chosen to econometrically test these theories for Romania and Ukraine. Therefore, we would like to research, using a simple linear regression model, whether the income growth, which represents the independent variable, obtained by the people, has a significant contribution in life expectancy (the dependent variable) increase in Romania, as well as in Ukraine.

62-71

Authors: Radu Alin Moruţan, Daniel Bădulescu

The political and economic changes taking place at the end of the 20th century have provided Western European banks the opportunity to enter into Central and Eastern European (CEE) markets. Their entry was made either by greenfield investment or by acquisition of existing domestic banks. The motivations for the entry decision were various, e.g. managerial decisions, tightening profit margins in home markets, challengers imitation, profit-maximizations, looking for new customers in new markets, or keeping and extending relations with existing customers on the new markets where they are implanted. The expansion was amplified by the deregulation, the global capital expansion and the emergence of a single currency, throughout a period of prosperity and economic growth lasting for almost two decades (1990-2008). Until the crisis, changes in the CEE banking markets mainly concerned the increasing share of foreign capital (in market share, assets, number of branches and employees) along with the diminishing importance of state-owned banks. After 2008, the process displays new features: the restructuring of banks, mergers or strategic acquisitions, reducing operations in certain countries or even exits, adjusting the number of units and employees, improving efficiency and profitability indicators etc. Domestic banks, both private and state-owned, have bridged the gap (at least in terms of efficiency) separating them from the leaders, i.e. mostly the subsidiaries of large international banks. Apparently, greenfield banks are losing the importance they had in the preceding period (1990-2008). This paper aims at investigating the relation between foreign banks’ mode of entry into the emerging markets of CEE (i.e. acquisition vs greenfield) and the strategies’ results on those markets, before and after the crisis. Although foreign banks have implemented common strategies at group level, often dependent on the entry mode, these strategies were influenced by the specific features of the host markets and, quite frequently, by transformations occurred within home markets. We found that the entry is relevant for the development of the banks, but less than in the previous period, i.e. when banks entered the emerging markets of CEE.

7-16

Authors: Anca Păcală

In recent years, researchers and practitioners are increasingly interested in the role and influence of the forms of business organization on the economy and society. Interpretations of the role of companies in the modern period, ranging from enthusiastic support (as the most important invention of capitalism, an explanation of the Western civilization’s expansion) to moderate and often critical positions, where the company is seen as a solution, not necessarily optimal, to market imperfections. On the other hand, we often ponder upon the explanation of political, administrative and infrastructural success of ancient Rome: the state or the enterprise (the private initiative)? Closer to our time, we rediscover with amazement that the "dark" Middle Ages are not at all dark and lacking in progress, at least in terms of capitalist organization and logic. The development of trade in the two poles of medieval Europe (the Mediterranean and the Balto- Scandinavian area), of industry and trade in the North-Western quadrant (Flanders and neighbouring regions), was concurrent with the improvement of organizational forms of business, with the diversity and flexibility of entrepreneurial or even corporate frameworks. Of course, the study of historical sources (ancient or medieval) cannot provide direct answers or solutions to the questions of modern society, because the challenges of today are rather different to those of the past. On the other hand, understanding history can help companies to build a more complete and a wiser enterprise functionality and role in the modern society, to reformulate the questions and to find new solutions. Our paper, with a clear juridical perspective on economic history, focuses on the organization of firms in ancient Rome and medieval Europe, tries to provide examples, useful interpretations and diverse solutions to the problems of contemporary society and economy.

27-37

Authors: Roxana Hatos, Tomina Săveanu

Skills mismatch is a generic term that refers to various types of imbalances of skills and competencies offered and those needed in the labour market. The concept has become one intensely discussed and subjected to measurements in research amid international concerns about its human resource under-utilization. The article aims to analyse under-employment of economic studies graduates. This is achieved by analysing the results of a professional path survey, with bachelor graduates of Faculty of Economics, University of Oradea, conducted at the end of 2015. Our main research question was: which are the predictors of the over-qualification of University of Oradea. Faculty of Economic Sciences graduates. The analyses show that under-employment of our graduates is not explained by any demographic variables, but solely by employment outside the domain and specialization of education, as well as by number of jobs previously held by respondents.

47-57

Authors: Flavius Feier, Alina Bădulescu

For decades, researchers and practitioners have ascertained that sustainability and effectiveness of the new European construction relies also on good relations between neighbouring countries. Efficient cross-border cooperation (CBC) between EU Member States is able to achieve one of the main objectives of the European Union: the territorial cohesion. Even the first actions were based on enthusiasm, spontaneous cooperation or diversity, in the present stage, the CBC has to move forward, from theoretical hypothesis and anticipation, to concrete and specific action, to implementing the evaluation results from previous cooperation projects and to design new policies and strategies. This paper addresses a key issue of CBC between Romania and Hungary: the efficient spending of funds allocated through the CBC Programme HU-RO 2007 - 2013, by analysing the data available at the end of 2015. Our research, based on the analysis of the funds allocated and spent within HU-RO CBC program, attempt to assess the fulfilment of the undertaken indicators (individual or at aggregated level), the absorption rate of available funds and future development prospects. Our research revealed that, overall, there is a clear trend of improving the quality of projects selected and implemented both in Romania and in Hungary, put in evidence by the high degree of the funds’ absorption and the achievement of the most of the assumed indicators. However, the assessment of the quality of projects submitted and selected has to be completed with the analysis of the sustainability and impact of these cross-border projects. Our article also focuses on revealing various aspects and results of HU-RO CBC 2007-2013 projects, effects and limits or challenges to long-run sustainability. The paper also points out conclusions and provides further recommendations in order to ensure the sustainability and the effectiveness of future CBC programs, particularly for the 2014-2020 programing period.