While the automotive industry has historically been at the core of Germany’s economic strength and acted as a major driver of the country’s export performance, it now reveals some of the most significant challenges facing the national growth model. Against this backdrop, the article examines how the traditional advantages of Germany’s automotive industry have gradually turned into structural vulnerabilities, arguing that its current difficulties cannot be reduced to a cyclical downturn or to a delayed transition to electromobility and digitalisation. Instead, this evolution reflects a more profound transformation in the factors that have long sustained German manufacturing performance. Conventional sources of industrial advantage, such as engineering specialisation, export orientation, extensive integration into global value chains, and reliance on dynamic foreign markets, have become channels of exposure amid the recent intensification of geo-economic rivalry, China’s rise in the electric vehicle sector, the resurgence of U.S. industrial policy, and the reconfiguration of global technology chains. Drawing on evidence related to gross value added, employment, foreign trade, vehicle production, and the shift towards electromobility, the paper highlights the progressive weakening of the long-standing pattern of German automotive performance. The analysis concludes that the German automotive industry is not merely undergoing a phase of sectoral adjustment, but has entered a broader process of strategic recalibration, whose outcome will shape Germany’s ability to preserve its position as a major manufacturing power in an increasingly fragmented world economic order.
The European Union's strategic objective is to augment the proportion of renewable energy sources within its energy mix. This initiative is primarily driven by the need to address the pressing issue of climate change, with a secondary objective of maintaining its position as a global leader in high-performance technologies. As members of the European Union, the CEE-4 countries (Czech Republic, Hungary, Poland, Romania) attach considerable importance to the development of this type of energy, setting ambitious targets and allocating substantial investment to this sector. The present article aims to analyse the latest trends in the renewable energy sector in the CEE-4 countries. In the initial section of the article, an extensive review of the pertinent literature was conducted. This entailed the examination of significant articles and studies within the field, with the objective of identifying existing gap in the available research. In the second part of the paper, a quantitative analysis was conducted that included four indicators related to renewable energy. The primary findings indicate that the CEE-4 countries demonstrate a commendable performance in terms of the proportion of renewable energy sources utilised, in comparison to the European Union average. This is particularly noteworthy when considering these countries' communist past and their relatively recent accession to the European Union. Furthermore, Romania is the CEE-4 country that ranks highest on three of the four indicators. Nevertheless, the full potential of renewable energy sources has yet to be realised. To address this issue, several measures must be taken. These include the improvement of support schemes for renewable energy sources, the construction of new facilities, particularly those dedicated to solar and wind power, and the modernisation of existing cogeneration plants.
The article analyzes the development of the concept of green jobs and the acquisition of green skills in Romania in the context of the transition towards the circular economy, highlighting the connection between employment, environmental protection and the efficient use of resources. The circular economy involves the transition from a linear economic model, based on production, consumption and disposal, towards a model focused on waste reduction, reuse, repair, recycling and resource recovery. Within this framework, green jobs can contribute to the modernization of the labour market and to the creation of professional opportunities in areas such as waste management, recycling, renewable energy, energy-efficient construction, sustainable agriculture, green transport, and repair and reuse services. The aim of the article is to highlight the opportunities, challenges and public policy directions needed for the development of green jobs in Romania. The research is based on a theoretical and descriptive approach, through the analysis of the specialized literature, strategic documents and the main trends regarding the circular economy and green employment. In this context, Romania has significant potential for the development of green jobs, but its valorisation is limited by insufficient recycling infrastructure, the low level of green skills, limited investment and the uneven implementation of public policies. The article emphasizes the need for integrated measures aimed at vocational training, stimulating green investments, supporting circular enterprises and strengthening cooperation between public authorities, the private sector and the education system.
State aid policy is often perceived as a restrictive component of the European Union (EU) competition law. However, recent crises, such as the COVID-19 pandemic and the economic disruptions generated by the war in Ukraine, have demonstrated its capacity to function as an effective policy instrument enabling Member States to mitigate economic difficulties and strengthen economic resilience. At its core, EU state aid policy prioritizes horizontal aid aimed at addressing market failures, particularly in areas such as environmental protection, research, development and innovation (RDI), and other objectives of common European interest. Against the backdrop of persistent economic challenges and the European Union’s continued commitment to the green transition, this research examines the extent to which state aid granted by Member States in recent years has contributed to advancing sustainability objectives. The methodology relies on a comparative analysis of state aid measures implemented between 2019 and 2024, based on data provided by the State Aid Scoreboard, complemented by a case study focusing on Romania. The paper aims to assess both the evolution of environmentally oriented state aid and the role of national policy choices in supporting the EU’s green transition agenda.
The pharmaceutical manufacturing sector is one of the most stable and high-performing sectors of the Romanian economy. This study analyzes the evolution of the financial performance of companies classified under NACE code 2120 (Manufacture of pharmaceutical preparations) for the period 2020–2024. To this end, key financial performance indicators are examined, such as revenue, debt-to-equity ratio, return rates, and labor productivity. The results highlight a constant increase in revenue and net profit, the consolidation of equity, and improved operational efficiency. Ratios of profitability (ROA, ROE, ROS) show an upward trend, and labor productivity confirms the increasingly efficient allocation of resources. The paper provides an integrated perspective on the performance of the pharmaceutical sector during the 2020–2024 period.
Economic migration is a structural process with major implications for the socio-economic development of Romania, influencing the territorial distribution of the active population and the regional dynamics of the labor market. In the context of the persistence of significant economic disparities between the country's regions, this study examines the relationships between economic migration and regional differences, using an empirical approach based on descriptive and correlational analyses. The research integrates relevant indicators such as employment level, unemployment rate, average wage, economic structure and level of regional development, to identify patterns and asymmetries that characterize recent developments. The results highlight the fact that regions with low economic performance and limited opportunities on the labor market register higher levels of economic migration, while more developed areas have a greater capacity to retain the workforce. The correlational analysis confirms the existence of significant links between migration and socio-economic indicators, suggesting that the mobility of the active population is strongly influenced by persistent regional gaps. The findings highlight the importance of territorially differentiated public policies, aimed at reducing economic disparities, strengthening human capital and increasing the attractiveness of vulnerable regions.
In April 2024, the International Accounting Standards Board (IASB) has published a new accounting standard to be used by IFRS reporters from 2027, IFRS 18 ”Presentation and Disclosure in Financial Statements”. The new standard will transform the look of the income statement and aims to improve comparability and transparency of financial reporting. Who will the changes impact?All entities reporting under IFRS Accounting Standards will be required to adopt IFRS 18 which will replace IAS 1 ”Presentation of Financial Statements”. The main objective of the article is to present the main changes in the presentation of financial statements resulting from IFRS 18 that will affect financial reporting for periods beginning from 2027. The changes in the structure and content of financial statements are considered from the perspective of the needs of potential investors as well as other stakeholders. The paper shows that changes in the structure of IFRS’s financial statements are focused on the increasing value for investors and that they improve financial performance reporting. IFRS 18 has introduced an obligation to disclose more subtotals in the income statement as well as information about management-defined performance measures. On the other hand, this accounting standard may still have a positive impact on transparency of financial statements reducing additional disclosures alongside with the presumed improvement in the quality of the financial result presented in the income statement. The considerations may constitute an impact for the preparers of financial statements under IFRS to improve the informative value of the financial statements.
A patent application is a relevant indicator of the outcomes of research and development activities and also represents an incentive for firms and countries to invest in such activities for the economic and strategic value of the resulting goods or processes, protected for a certain period of time. In the current geopolitical and economic context, marked by fierce competition, inventions can make the difference between winners and losers on the world stage. This paper investigates the relationship between the number of researchers in R&D and patent applications by residents. It aims to determine the impact of research on innovation in Bulgaria, China, France, Germany, Hungary, Romania, Russia, Turkey, Ukraine, the United Kingdom and the US, using quantitative and econometric analyses (log-log, OLS, lag structures and non-linear specifications). The results indicate heterogeneities among the analysed countries, indicating that a high number of researchers in R&D is not enough to boost innovation. China exhibits a statistically significant, linear relationship with the highest positive elasticity between R&D and innovation, indicating an efficient conversion of researchers’ activity into patent applications. France, Germany and the US showed non-linear relationships, whereas Romania, Bulgaria and Hungary registered weaker elasticities and lower research efficiency.
The rapid expansion of smartphone-based media has transformed the way people access, select and consume digital content. Among the many forms of mobile media, podcasts have become increasingly relevant because they combine flexibility, personalization and the possibility of multitasking. This paper examines the relationship between smartphone addiction, fear of missing out (FOMO), leisure boredom and podcast consumption. Drawing on the literature on problematic smartphone use, uses and gratifications theory, FOMO and leisure boredom, the paper argues that podcast consumption should not be understood only as an informational or entertainment practice, but also as part of a broader pattern of digital self-regulation. The study proposes that smartphone addiction may increase podcast consumption directly, by encouraging repeated mobile engagement, and indirectly, through FOMO and leisure boredom. Individuals who experience high levels of FOMO may use podcasts to remain connected to trends, conversations and cultural knowledge, while those experiencing leisure boredom may use podcasts as a convenient way to fill empty time and avoid inactivity. The paper contributes to existing literature by integrating three psychological predictors into a conceptual explanation of podcast consumption. The expected impact of this research lies in improving the understanding of digital media habits and supporting healthier, more intentional forms of smartphone and podcast use.
The article analyzes the impact of fees and commissions on the profitability of the banking sector in the European Union and the Republic of Moldova during 2015-2024. The research tracks the structural evolution of the main components of total operating income, with a focus on net fees and commissions (F&C) income, in the context of transformations generated by digitalization, European regulations on the capping of interbank fees, increased competition from financial technology companies (fintechs) and changes in monetary policy. The study uses consolidated data published by the European Central Bank and the National Bank of Moldova and applies a comparative and structural analysis of banking profitability indicators. The results highlight the fact that fees and commissions represent a more stable and resilient source of income compared to interest income, especially in periods of macroeconomic volatility. At the same time, the research reveals that the banking sector in the Republic of Moldova is in a transition phase towards a more diversified revenue model but continues to show a high dependence on interest income and international payment processing infrastructures. The conclusions emphasize the need to strengthen the national payment infrastructure, optimize the costs of digital services and develop sustainable models for monetizing financial services.
Nostalgia has become an increasingly important persuasive strategy in contemporary advertising, especially in a media environment marked by emotional saturation, fragmented attention and intense brand competition. This paper examines the role of nostalgia in advertising and its effects on emotional engagement and purchase intention. Drawing on specialized literature in consumer psychology, advertising and branding, the article argues that nostalgic appeals can strengthen consumer responses by activating autobiographical memory, positive affect, perceived authenticity and emotional connection with the brand. The paper also discusses real campaigns from brands such as Coca-Cola, Nintendo, Microsoft, Barbie and Spotify, showing how nostalgia can be used through retro aesthetics, childhood references, product relaunches, personalized memories and cultural symbols. A conceptual model is proposed in which nostalgia appeal influences emotional engagement, which in turn affects purchase intention. The paper also considers brand authenticity and consumer nostalgia proneness as moderating variables. The findings suggest that nostalgia can be highly effective when it is emotionally meaningful, culturally recognizable and consistent with brand identity. However, nostalgia may become ineffective or even counterproductive when used superficially or when it appears disconnected from the consumer’s lived experience. The article concludes that nostalgia advertising is not simply a return to the past, but a strategic reconstruction of memory designed to create emotional relevance in the present.
This study examines the relationship between ESG reporting maturity and sustainable finance development in the Romanian banking sector during the European sustainability transition. The research focuses on major banks operating in Romania and analyses how ESG integration influences green finance activities, sustainable lending, and access to capital market instruments. The analysis is based on publicly available sustainability reports, annual reports, and ESG disclosures published between 2020 and 2024. ESG maturity is operationalized through a structured reporting scale reflecting the transition from basic non-financial disclosure to CSRD-aligned sustainability reporting with external assurance. Sustainable finance performance is evaluated through green financing initiatives, sustainable lending frameworks, and green bond activity. The findings reveal a strong positive association between ESG reporting maturity and sustainable finance development. Banks with more advanced ESG reporting frameworks demonstrate greater involvement in green financial instruments and sustainable lending practices. The study also highlights the accelerating influence of European regulations, particularly CSRD, on ESG convergence within the Romanian banking sector.
The Republic of Moldova has remained underrepresented in the post-Soviet macroeconometric literature: while Bayesian quarterly frameworks have been developed for monetary transmission, no publicly documented annual demand-side framework with explicit elasticity estimates has been available. This paper addresses that gap by proposing, to the author's knowledge, the first publicly documented annual semi-structural macroeconometric framework for Moldova, comprising five behavioural equations estimated by Ordinary Least Squares (OLS) (for private consumption, exports, imports, gross capital formation (GCF), and government consumption), closed by the expenditure-side accounting identity. The framework is estimated on annual data 2014-2024 (N = 11) under the European System of Accounts (ESA) 2010 and the Moldovan classification of economic activities (CAEM Rev.2). Three indicative findings, conditional on the small-sample environment, emerge from the estimates. The elasticity of Moldovan exports to EU27 real GDP is estimated at the upper end of the trade-elasticity range documented for small open economies, while the import elasticity to total absorption suggests that external shocks are amplified rather than dampened by the open-economy multiplier. The real exchange rate is statistically indistinguishable from zero in the import equation; under the parsimonious specification adopted, the variable was not included in the export equation. The policy interest rate fails to enter the investment equation significantly, consistent with the shallow domestic credit market. The framework outperforms AR(1) and reduced-form VAR(1) benchmarks on out-of-sample GDP fit while underperforming the random walk on a validation window characterised by Moldovan output stagnation. The contributions are illustrative and conditional on the small-sample environment; the framework is fully replicable from public data sources and complements the established Bayesian quarterly tradition for Moldova.
Fiscal policy is a key strategic instrument in the European macroeconomic framework, serving a dual role: as the primary source of public revenue and as a mechanism for countercyclical intervention, redistribution, and the correction of market failures. This research proposes an integrated, theoretical-empirical examination of the budgetary and macroeconomic repercussions of taxation in European Union member states, emphasizing the mechanisms through which the level and composition of tax revenues influence GDP growth, fiscal balance, employment, and living standards. Conceptually, the study is based on the classical and contemporary paradigms of public finance and on approaches regarding the nonlinear relationships between tax pressure and tax revenue. Methodologically, the study employs a comparative structural approach combined with descriptive analyses of time series and econometric inference – including higher-order polynomial regressions to test the empirical form of the Laffer Curve – based on official statistical data (EUROSTAT, AMECO). The main findings highlight persistent heterogeneity in fiscal positions across EU, a robust relationship between employment and the level of tax revenue collected, and a complex correlation between the tax burden and living standards, mediated by the tax base and productivity. The Romania case study indicates high elasticity of tax revenues to variations in tax pressure and reveals an empirical form of the Laffer Curve indicative of adverse effects on investment and economic activity in the upper tax bracket, suggesting critical thresholds for tax optimization. The theoretical and empirical contribution of this paper lies in providing a robust analytical framework for designing tax policies that maximize collection efficiency, strengthen fiscal sustainability, and minimize distortions on economic growth and social equity.
Considering different patterns and levels of integration into global value chains (GVCs), this paper investigates similarities and differences among the second-generation Asian Tigers from the perspective of their interconnections between industries and countries, i.e., backward and forward linkages. We bring to the forefront Indonesia, Malaysia, the Philippines, Thailand, and Vietnam, and patterns of their integration into GVCs. The starting point of this research is the statistical evidence from the Regional Integration and Value Chain Analyzer (RIVA), developed by the United Nations Economic and Social Commission for Asia and the Pacific, interpreted from a comparative standpoint. After reviewing the relevant literature, in the first part, the investigation focuses on the main characteristics of the five economies, derived from their participation in GVCs covering the time frame between 2015 and 2024. In the second part, the case studies of Indonesia and Vietnam are presented, together with their backward and forward linkages in 2024.
This study analyses the structural transformations of European cohesion policy in the context of the acceleration of inter- and intra-regional disparities within the European Union, with a focus on the post-2014 period and the specific challenges of the 2021–2027 multiannual financial framework. By capitalising on an integrated theoretical framework, which combines neoclassical convergence theory, institutionalist approaches to regional economics and financial innovation perspectives, the study assesses the capacity of structural financial instruments to generate real and sustainable economic convergence. The empirical analysis uses panel data for 234 NUTS-2 regions from 27 Member States, covering the period 2000–2023, and applies econometric models with fixed effects, complemented by robustness tests using GMM-Arellano-Bond. The results demonstrate that financial innovations, in particular repayable financial instruments (RFIs), social impact bonds and public guarantee mechanisms, significantly amplify the multiplier effect of cohesion funds, with an estimated elasticity of 1.47 compared to 0.89 for classic grants. The article proposes an integrated dynamic allocation model based on composite indices of territorial vulnerability, with direct implications for the architecture of post-2027 cohesion policy.
Brazil stands as Latin America's leading economy because almost 80% of its electricity generation comes from renewable energy, including hydropower, wind, solar, and bioenergy. A geographical blessing and plenty of natural resources give the country an opportunity to become an international leader in green energy, embodying these ambitions in its National Hydrogen Plan, announced in 2021. Studies report that Brazil holds a range of energy sources and fast-growing renewable energy capacities but also suffers persistent plights of difficult bureaucracy, uncertain regulations, and environmental management-related challenges. A survey-based study in which 21 respondents, experts in the Brazilian economy, rated the attractiveness of Brazil’s renewable energy and sustainable industries for foreign direct investment. According general consensus of the respondents' opinions, the main competitive advantage for Brazil lies in its abundant natural resources, but the greatest disadvantage comes from bureaucracy. Respondents think that simplifying the administrative process and providing stable legislation will improve investment conditions. Sustainable agriculture and wind energy look to be the priority sectors for development, while international partnerships are the second supporting elements for domestic reforms. The article adds to knowledge of Brazil's renewable energy environment by weaving together stakeholder perspectives with policy and investment analyses, arguing for the necessity of institutional reforms in achieving sustainable economic objectives.
Financial analysis involves applying methods and techniques of analysis to financial reports and other related data to obtain useful information. This information is regarded as a significant relationship between data and their trends, showing a company's performance and financial position, as well as the results or consequences of previous management decisions. Additionally, they are used to make forecasts that can directly impact the decisions of financial statement users. Current and potential investors are interested in a company's future profitability. Therefore, the continuity of a company's past profits should represent a prediction of future profits. Many external users, such as creditors, are interested in knowing the level of a company's solvency rather than its profitability. Performance is a widely used concept in both literature and practice. In many cases, defining this concept is insufficient; often the focus is on measuring performance, which varies for each individual information user, rather than defining the concept of performance. Achieving performance involves meeting a primary necessary condition, namely, developing and implementing a specific system of indicators for measurement. In general, any economic entity, whether it is a micro-enterprise or a corporation, must have a current performance measurement system. This system is very important for the success and continuity of the entity's activities. This paper aims to highlight how a company's performance can be estimated and determined, respectively, measuring the extent to which the company's objectives have been achieved over a period of time. From this perspective, unachieved objectives, the reasons for not achieving them, and possible improvement methods for the future can be observed. The strengths and weaknesses of the company are identified in the performance evaluation stage specific to financial management, resulting in an analysis of behavior and identifying methods to improve activities.
In a world marked by accelerated digitalization, recurring economic crises, and growing pressures from climate change and the transition to a sustainable economy, national economies must rethink their financing strategies. Given this context, innovative financial instruments are gaining importance, providing flexible and adaptable solutions to the needs of a dynamic and globalized market. Financing the national economy involves mobilizing and allocating the resources required for the development and functioning of key sectors such as infrastructure, education, and health, with the aim of fostering sustainable economic and social progress. This paper examines both public financing (through the state budget and governmental mechanisms) and private financing (through investments, bank loans, and capital markets), using a qualitative approach to assess Romania’s position in the field. The findings highlight the need to understand the main sources of financing — internal, such as national savings, taxes, and private contributions, and external, including loans from international financial institutions, foreign direct investment, and grants — in order to boost the sustainable growth of the national economy in the current digital context.
The taxation of income derived from intellectual property rights currently constitutes both a fiscal challenge for authorities and a major area of interest for Romanian taxpayers, as well. Intellectual property represents, for some, an additional source of income, while for others it is their sole means of livelihood: writers, visual artists and musicians, inventors, researchers, designers, and professionals in the creative and educational industries. An evaluation of the legislative framework and current practices in Romania regarding the taxation of intellectual property income highlights both the benefits and limitations of the existing fiscal regime. Most analyses focus primarily on normative aspects, leaving insufficiently explored the direct experiences of those involved. In this context, the present study aims at understanding taxpayers’ perceptions and attitudes through a qualitative approach, employing in-depth semi-structured interviews (n=7) to achieve the following objectives: a. assessing the level of knowledge and practices regarding the taxation of intellectual property income in Romania; b. determining the characteristics of an optimal fiscal regime which should respond to both administrative requirements and taxpayers’ needs; c. investigating the limitations of current Romanian fiscal provisions, necessary for clarifying applicability and outlining future solutions tailored to specific economic domains such as the creative industries or the educational sector. Hence, this analysis extends the scope of research by emphasizing the taxpayers’ behaviours and proposes directions for fiscal reform based on the real experiences of system users.
