This paper evaluates the operational impact of artificial intelligence in optimizing public service delivery, specifically examining “Diella,” a virtual assistant integrated into the e-Albania government platform. Grounded in the OECD Digital Government Policy Framework (OECD, 2020), the research quantifies the efficiency gains realized through automated interaction handling compared to traditional manual support. The paper analyzes a dataset of 861,734 system logs collected between February and December 2024. Performance is benchmarked against a validated “Human Baseline” of 190 seconds per interaction, derived from the Global Call Center Report (Batt, Holman & Holtgrewe, 2007). The results indicate a system resolution rate of approximately 78% (combining True Positives and Resolved User Errors) and a median response latency of 9.91 seconds. Regression analysis of daily traffic volumes demonstrates a near-zero elasticity coefficient (β ~ 0.0003), indicating that the system scales efficiently without the latency degradation typical of human-staffed centers. Beyond operational metrics, this paper analyzes the system’s contribution to the United Nations Sustainable Development Goals (SDGs), specifically finding that AI-driven reduction of administrative burden directly supports SDG 1 (No Poverty), SDG 4 (Quality Education), SDG 9 (Industry, Innovation, and Infrastructure), and SDG 16 (Strong Institutions).
Global financial services and markets have been thoroughly redefined with the emergence of FinTech. The integration of these new financial technologies into the financial services and financial products have improved the process through which the users’ personal expectations are satisfied. On the one hand, these new technologies have the potential to enhance efficiency; on the other hand, they also present certain challenges. These challenges are particularly evident in the ability of regulatory bodies to promptly adapt to the rapidly changing fintech landscape. This paper presents a comprehensive bibliometric mapping of research at the intersection of Financial Technology (FinTech) and Data Envelopment Analysis (DEA), focusing on efficiency evaluation within financial innovation. Using the PRISMA framework and the Bibliometrix R tool, 386 Scopus-indexed publications were systematically analyzed to identify intellectual structures, thematic trends, and key contributors in this emerging field. The results reveal that research on FinTech efficiency is growing in scope and methodological sophistication, with DEA serving as a dominant analytical approach for measuring productivity, performance, and sustainability. China emerges as the leading country in terms of publication output and citation impact, while core themes such as efficiency, productivity, technical efficiency, and sustainable development dominate the scholarly landscape. The analysis highlights a gradual shift from traditional efficiency assessments toward more integrated approaches that incorporate digital innovation, environmental considerations, and policy relevance. By mapping research evolution and identifying knowledge gaps, this study offers valuable insights for academics, practitioners, and policymakers aiming to enhance the efficiency and resilience of FinTech ecosystems through data driven methodologies.
This paper explores how specific marketingrelated attitudes shape young adults’ intentions to purchase eco‑friendly products in a small post transition economy. Drawing on the theory of planned behavior and green consumer research, it tests four attitudinal drivers: perceptions of eco labels, evaluations of sustainable packaging, attitudes toward green advertising and perceived eco product value. Data were collected via an online survey of 80 consumers in North Macedonia. Following scale purification through exploratory factor analysis, multiple linear regression, conducted in the statistical software SPSS, was used to assess the relative contribution of each determinant to green purchase intention. The model explained just over half of the variance in intention: green advertising attitudes and perceived eco-product value were significant positive predictors, while eco labels and green packaging were not statistically significant. The study contributes by comparing multiple marketing levers within one framework and offering evidence from an under researched South-East European context, with practical implications for managers and policymakers.
The green transition reshapes labour markets and generate increased demand for specialized green skills, intensifying skills mismatches in transition economies. This paper provides theoretical background and empirical evidence on vertical and horizontal green skills mismatches in North Macedonia, on a representative survey of 530 firms conducted in March/April 2025. Vertical mismatch is defined as inadequacy of qualification levels, while horizontal mismatch captures misalignment between employees’ field-specific green skills and job requirements. Using ordered logistic regression, the study examines how firm characteristics, including size, sector, internationalization, adoption of environmental standards, CSR practices, and training capacity, influence the likelihood of green skills mismatches. The findings indicate that underskilling and horizontal mismatches are the most prevalent challenges, particularly among SMEs, exporting companies, and firms pursuing advanced environmental standards. Conversely, firms with foreign direct investment and those actively implementing green practices face lower field-related mismatches. Sectoral and occupational analyses reveal substantial heterogeneity in green skill readiness. The study underscores the need for targeted upskilling, VET curriculum reform, and stronger industry–education collaboration to enable an inclusive and effective green transition in North Macedonia.
This paper explores the application of circular economy (CE) principles within the hospitality industry through a case study of Ibis Skopje City Center, part of the Accor hotels group.The focus is on strategies to reduce food waste – one of the most significant sustainability challenges in the sector. Using qualitative research methods, including semi structured interviews and internal data analysis, the study examines how the hotel integrates CE strategies such as waste prevention, resource tracking, food repurposing, and guest behavior modification. Central to the implementation is Gaïa, a digital monitoring tool that enables precise food waste tracking across service categories. Between 2018 and 2023, the hotel achieved a 63% reduction in food waste, largely due to operational redesigns (e.g., portion control, kitchen reuse), employee training, and guest engagement initiatives. The findings underscore the viability of CE practices in hospitality and highlight the importance of digital tools, stakeholder involvement, and supportive policy frameworks. This case contributes to the growing discourse on circular business models in service-based industries and offers a replicable blueprint for sustainable transformation in hotel management.
The household appliance sector, driven by a linear “take-make-dispose” model, contributes to resource depletion and environmental degradation through rapid product obsolescence and waste. This paper explores refurbishment based green business models (GBMs) as a key strategy for transitioning to a circular economy (CE) in this industry. By restoring used appliances to like new condition through structured processes collection, inspection, repair, and quality control—refurbishment extends product lifecycles, reduces waste, and lowers raw material and energy demands. The study analyzes the economic and environmental benefits of these models, alongside legal frameworks influencing their adoption. It identifies enabling policies, such as tax incentives and subsidies, and barriers, including restrictive regulations and intellectual property challenges. Through empirical data and case studies, the paper evaluates the scalability of refurbishment-based GBMs and their alignment with global sustainability goals. It provides actionable recommendations for policymakers and businesses to overcome barriers and promote sustainable innovation, emphasizing the need for integrated business and regulatory strategies to enhance the economic viability and environmental impact of refurbishment in the household appliance sector.
The transition to a Green Economy is a critical imperative for the Western Balkans, particularly for North Macedonia, which faces significant environmental challenges, including high carbon intensity and reliance on fossil fuels. However, the first point of this transition is often the existence and reliability of datasets, limited technical capacity for forecasting, and data latency. This paper explores the transformative potential of Artificial Intelligence (AI) Agents—autonomous systems capable of analyzing Green Economy time series data. Specifically, the study[1] focuses on Greenhouse Gas (GHG) emissions from 1990 to 2019. Utilizing a framework built on Python (Pandas), LangChain, and the Ollama LLM (gpt-oss-20b), we deployed AI agents to perform both descriptive and predictive analytics. The results demonstrate that AI agents can successfully autonomously query historical data to identify critical low-emission periods and generate numeric forecasts for 2025 across six key sectors: Total Emissions, Energy, Industrial Processes, Agriculture, Forestry, and Waste. The study validates the hypothesis that AI agents can serve as robust tools for evidence-based climate governance, offering a pathway toward more adaptive and real time environmental policy formulation.
This paper provides an empirical analysis of the aggregate production function in North Macedonia to assess the structural dynamics of its economic growth and their implications for long term sustainability. Utilizing quarterly data from 2005 to 2024, the paper estimates a Cobb-Douglas production function using the Autoregressive Distributed Lag (ARDL) bounds testing approach, a methodology selected for its robustness in handling variables with mixed orders of integration I (0) and I (1). The primary objective is to decompose the sources of growth, specifically estimating the output elasticities of capital and labour and to test the hypothesis of Constant Returns to Scale (CRS). The empirical results confirm the existence of a stable long-run cointegrating relationship. Crucially, the analysis reveals that economic growth is driven predominantly by capital accumulation, while the contribution of labour is statistically insignificant, highlighting profound structural rigidities and skills mismatches. Furthermore, the Wald test strongly rejects the hypothesis of CRS, indicating decreasing returns to scale (α+β < 1). This identifies a critical vulnerability: the nation’s current trajectory is resource-intensive rather than productivity-led. The paper concludes that achieving sustainable development requires a transition from quantitative input expansion toward qualitative, Total Factor Productivity (TFP)-driven growth and circular economy integration to overcome the diminishing marginal efficiency of the current model.
Businesses face increasing pressure to adopt innovative and sustainable practices in response to growing environmental and economic challenges. This paper examines the relationship between green business models (GBMs), which integrate environmental and social objectives into value creation, and business model innovation (BMI), which focuses on competitiveness and growth by reconfiguring value creation and capture mechanisms. The central question is whether these approaches conflict or conditionally converge. The study builds on sustainable business model archetypes and established frameworks such as the Business Model Canvas and the Business Model Navigator. Using a conceptual and comparative research design, it systematically analyzes how value is defined, how sustainability is positioned within the business model, and the depth of transformation involved. The findings indicate that while traditional innovation logic has often prioritized short term economic performance, there is a growing change toward hybrid and sustainable business model innovation approaches that combine economic competitiveness with environmental and social value creation. Convergence emerges when sustainability is embedded within innovation processes rather than treated as an external constraint. The paper concludes by proposing a conceptual typology distinguishing innovation-focused, sustainability focused, and integrated business models, offering guidance for firms and policymakers navigating sustainability transitions.
Generalized trust is a form of social capital that fosters cooperation among groups of people, thereby contributing to economic development. But is the level of generalized trust influenced by the place of residence? This paper explores the distribution of generalized trust between individuals with residence in the big city of Skopje and smaller towns and rural areas in North Macedonia. A multiple regression model is used to analyse the difference in generalized trust from a sample of 1.453 individuals based on cross-sectional data from the author’s research conducted from December 2023 to January 2024 in North Macedonia. Furthermore, the model includes control demographic variables and proxy measures for people’s social networks, personality traits, positive experiences, and quality of local government. Results support the paper’s thesis that generalized trust is higher among individuals living in the city of Skopje than among individuals living in smaller towns and rural areas. Furthermore, additional tests suggest that the difference in generalized trust is associated with the place of residence among people with similar education and income levels. These findings provide evidence for the exception to the thesis that in developing countries, generalized trust is lower in big urban areas in comparison with smaller places.
Waste management is often framed as a technical or logistical problem, yet it is also a financial-information problem: what is not measured, classified and disclosed is difficult to control, finance and govern. Financial accounting provides the disciplined measurement system that records waste-related transactions, recognises waste-related obligations and enables comparability across periods and organisations. Drawing on the uploaded literature in waste management, sustainability accounting and IFRS-based financial accounting, this article explains how financial accounting strengthens waste management through (1) transparency and comparability of waste related costs and revenues, (2) compliance and accountability through recognition and disclosure of waste related liabilities and provisions, and (3) decision usefulness by enabling investment appraisal, relevant cost analysis, risk governance and performance measurement. It then proposes a practical waste-focused chart of accounts that captures information by waste stream (general/mixed, recyclables, organics, hazardous, e-waste, construction and demolition) and by treatment route (prevention, recycling, composting/AD, energy recovery, landfill, incineration), and shows how these accounts can be reconciled to physical quantities using tools such as material flow cost accounting (MFCA) and life-cycle costing. Finally, it demonstrates how the resulting accounting information supports managerial decisions, investor assessment and research, and provides illustrative journal entries for common waste-related transactions.
As the global ecological crisis deepens, governments are increasingly deploying fiscal instruments, such as carbon taxes, green bonds, and public investment schemes to facilitate a transition to a Green Economy. However, mainstream economic discourse often treats these instruments as neutral technical fixes, ignoring the profound ideological divergences that determine their design and legitimacy. This paper challenges this technocratic illusion by mapping the “fiscal futures” envisioned by six distinct schools of thought: Ecological Modernization, Green Keynesianism, Degrowth, Eco-Marxism, Post-Development, and Buen Vivir. Employing a Comparative Political Economy (CPE) framework, the study constructs a five-dimensional analytical matrix to examine how these paradigms conceptualize: (1) the ontology of economic growth, (2) the valuation of nature, (3) the fiscal toolkit, (4) the role of the state, and (5) the strategic goal of the transition. The analysis contrasts Reformist market-based strategies with Transformative post-growth visions, revealing a “feasibility-necessity paradox” where politically feasible measures are ecologically insufficient, while Western-centric models risk reinforcing global inequalities. The paper concludes that a successful transition requires a “two-track” fiscal strategy: utilizing Green Keynesian stimulus to build low-carbon infrastructure in the short term, while introducing post-growth stabilizers to reduce structural growth dependency in the long term.
This paper critiques the repurposing of plastic waste in infrastructure, specifically road construction, not as a circular economy breakthrough but as a structural “spatial fix” for the fossil fuel industry. As energy markets decarbonize, the “Fossil-Plastic Nexus” is pivoting to petrochemicals, creating a waste surplus that mechanical recycling cannot absorb. Employing a political ecology framework and comparative analysis of engineering data, the study evaluates the viability of the “Infrastructure Solution.” Results indicate a “feasibility-necessity paradox”: while incorporating plastic into roads improves mechanical durability and offers a cost-effective sink for legacy waste, it risks locking economies into a “Recycling Paradox” where the valorization of waste incentivizes continued virgin production. Life Cycle Assessments reveal that while substituting plastic with traditional materials often spikes carbon emissions, the “infrastructure fix” introduces new risks of microplastic shedding and “waste colonialism” by exporting pollution to the Global South. The paper concludes that repurposing must be restricted to “legacy containment” within a strict hierarchy of intervention, subordinated to the ultimate goal of a global cap on virgin plastic production.
This study examines the influence of digitalization on job-creating entrepreneurial activity in the European Union. Using balanced panel data for 27 EU countries over the period 2014–2024, the analysis focuses on self employment with employees as a proxy for job creating entrepreneurship. A cross section fixed effects model is estimated, incorporating digitalization as the main explanatory variable alongside lagged self employment without employees and key macroeconomic controls. The results provide robust evidence that higher levels of digital development are associated with increases in job creating self-employment, indicating that digitalization facilitates entrepreneurial scaling and employment generation. In addition, self-employment without employees is found to serve as an important structural base for subsequent job-creating entrepreneurship. Overall, the findings highlight digitalization as a key enabler of employment generating entrepreneurship and underline the importance of policies that support both digital transformation and the transition from solo to employer entrepreneurship in the EU countries.
Women’s entrepreneurship represents a critical driver of economic diversification and sustainable development, particularly as the global shift toward a green economy opens new pathways for inclusive and resilient growth. This paper explores how national and EU policies support women’s entrepreneurship within the green economy with the aim of identifying gender sensitive strategies and assessing their effectiveness. The analysis focuses on gender inclusion, sustainability, access to finance and training. Given the strong interconnection between the green economy and sustainable development, the study draws on relevant strategic frameworks, including the EU Gender Equality Strategy 2020–2025, the European Green Deal, the Women’s Entrepreneurship Platform (WEgate), the Green Agenda for the Western Balkans, and the Sustainable Development Strategy for Southeast Europe (SEE 2030). The findings indicate that existing policies require further refinement to more adequately incorporate gender responsive support mechanisms within green entrepreneurship. Governments should invest in targeted programs, improve access to finance, and enhance institutional cooperation for gender inclusive green growth.
This paper investigates the impact of economic policy uncertainty on economic growth in the Republic of North Macedonia, with particular emphasis on uncertainty originating from major external economies. Using annual time-series data and applying the Auto-Regressive Distributed Lag (ARDL) bounds testing approach, the study examines both short-run dynamics and long-run relationships between economic growth, economic policy uncertainty, and key macroeconomic determinants. The results confirm the existence of a stable long-run relationship among the variables. The findings indicate that capital accumulation and trade openness positively contribute to long-run economic growth, while inflation exerts a significant negative effect. Most importantly, economic policy uncertainty originating from the United States has a statistically significant and negative impact on economic growth in North Macedonia, whereas uncertainty originating from Germany shows a negative but statistically insignificant long-run effect. Results reveal relatively fast adjustment toward the long-run equilibrium. Overall, the results highlight the vulnerability of small and open economies to global uncertainty shocks and underscore the importance of macroeconomic stability and policy credibility for sustaining economic growth.
The transformation of biowaste into value added products is a crucial element of the circular bioeconomy, presenting a significant opportunity to enhance the competitiveness of small and medium-sized enterprises (SMEs). This study investigates the economic, technological, and policy aspects of converting locally sourced biowaste streams into minimum viable products (MVPs) through an experimental framework developed in collaboration with SMEs. It combines biowaste laboratory processing with focused SME-prototyping and economic comparison. The residues generated from the HoReCa sector, food processing industry, agribusiness, and retail were transformed into functional MVPs such as natural cosmetic products, bio-emulsifiers, textile fillers, organic fertilizers, and eco-friendly construction materials. The obtained results demonstrate both technical feasibility and economic practicality. In comparison to traditional landfill disposal, biowaste valorisation decreases average disposal costs by around 40%, reduces greenhouse gas emissions by 60%, and increases material recovery to 35%. SMEs involved in valorization have shown strong interest in further commercialisation, especially in cosmetics, packaging, and green construction sectors. The findings indicate that MVP-driven circular innovation significantly lowers barriers to entry for SMEs, reduces financial risks, and speeds up market testing. At a macroeconomic level, the results highlight important benefits for resource efficiency, green jobs, and regional industrial diversification.
The re imposition of U.S. tariffs in 2025 has intensified global trade fragmentation and renewed uncertainty in international markets. While tariff impacts are often assessed through direct bilateral trade flows, their most significant effects increasingly arise through indirect spillovers embedded in global and regional value chains. This paper examines the sectoral implications of renewed U.S. tariffs using North Macedonia as a case study. Although the country’s direct export exposure to the U.S. market remains limited accounting for approximately 1 to 1.4 percent of total exports (2021-2024), the analysis shows that indirect effects transmitted through European Union’s supply chains pose substantially greater risks. Sectors such as automotive components, metals, and chemicals are particularly vulnerable due to high export concentration, deep integration into EU manufacturing networks, and sensitivity to global price volatility. Drawing on international trade literature, sectoral assessments, and national trade data for 2021–2024, the paper identifies key transmission channels and discusses implications for foreign direct investment, nearshoring, and economic resilience in small open economies.The findings underscore that strengthening sectoral competitiveness, policy coordination, and export diversification is essential for enhancing resilience in small open economies facing an increasingly fragmented global trade environment.
This paper examines how automation and sustainability are transforming jointly the accounting profession by changing job tasks, expanding reporting responsibilities and reconsidering the competences required of accountants. Based on a systematic review of recent academic literature, the study integrates evidence concerning the impact of artificial intelligence, machine learning, robotic process automation, blockchain technologies, and emerging sustainability reporting. The findings demonstrate that automation shifts accounting work from manual transactions processing toward analytical, interpretive, and supervisory functions, supported by advanced digital tools. At the same time, sustainability is enhancing the scope of accounting to include non financial information, requiring new competences in ESG performance measurement, the integrity of ESG data, assurance, and ethical reporting practices. The analysis reveals that these two forces reinforce one another automation supports high-quality sustainability reporting, while sustainability accelerates the adoption of digital technologies. The paper also highlights emerging ethical challenges, regulatory implications, and changes in the labour-market associated with digitalization. Policy recommendations underline the need for educational changes, revised ethical standards, enhanced governance of automated systems, and support of small and medium-sized firms undertaking digital transformation.
The green transition towards a green economy is reshaping labour markets through changes in the employment structure, skill requirements and sectoral composition. These effects are particularly significant for small and transition economies such as North Macedonia, where labour market adjustment is constrained by demographic decline, skills mismatches and structural vulnerabilities. The paper analyses the implications of the green transition and labour market adaptation in North Macedonia, focusing on employment dynamics, sectoral shifts, skill needs and the gap between green job potential and existing brown sector employment. The findings indicate that the green transition in North Macedonia is unfolding primarily through job transformation rather than net job creation, against a moderate shrinkage in total employment. Employment remains mostly concentrated in carbon-intensive and transition-exposed sectors such as manufacturing, construction, agriculture and mining, while growth is observed mainly in knowledge and service intensive activities that enable the green transition. The paper highlights a significant mismatch between projected green job creation and current labour market structure, underscoring the need for targeted reskilling, inclusive labour market policies and just transition measures. The effective labour market adaptation is a central prerequisite for ensuring that the green transition contributes to sustainable, inclusive, and resilient economic development in North Macedonia. The analysis is based on descriptive statistical methods using sectoral employment data from the State Statistical Office of North Macedonia (2019–2024), complemented by literature and policy analysis.
