The Slovenia Times

The politics of national economic policies and / or globalisation



Martina Larkin, MBA, Head of Europe, World Economic Forum, Geneva

"Europe Needs Inclusive Growth"

"Europe's economic unity is under threat from fiscal imbalances, regional disparities between the north and south, and chronic un- and under-employment. At the same time, its ability to address these issues on a Europe-wide basis has become more difficult in the context of the backlash against globalisation, rising populism, and increasing Euroscepticism.

The antidote to these challenges is a growth strategy which is more inclusive and more knowledge-intensive. This cannot be achieved by applying the same, one-size-fits all, strategy everywhere. What is needed is a tailored approach matching specific policy actions to specific national needs.

Policies aimed at fostering inclusive growth work more effectively than those that seek growth first followed by redistribution as they achieve both goals simultaneously. We are already seeing a number of successful initiatives borne from public-private cooperation: now it's time to scale these and share them across Europe."

Professor Arturo Bris, Director, IMD World Competitiveness Center

"Globalisation is less available when most needed"

"Gone are the days when globalisation was preached as the solution to the world's economic problems. Let us be clear, globalisation-understood as free trade, free movement of capital, worldwide extension of business practices, and the expansion of multinationals beyond borders - has been criticized as the culprit of today's social injustices. In particular, offshoring production to low-cost countries has imposed a reduction in real salaries in richer economies; the fast development of once poor economies has benefitted only a few; multinationals today have more power than some national governments.

Can we blame globalisation for that? By itself, the process by which the world economy is today fully connected has created imbalances but these are the result of poor national economic policies and the lack of commitment towards a more, not less global economy. Globalisation is less available when most needed, and this is probably what our politicians and societies need to internalise better."

Nevenka Kr┼żan, Senior Partner at KPMG in Slovenia

"Slovenia should not look for excuses for being geographically small and locally limited"

"We live in a globally connected world and this, in particular, relates to export-oriented Slovenia. With the vision to become a green reference country in a digital Europe, it is of utmost significance for our country that local economic policies follow this guideline.

The economic policy should contain a set of measures that support digital transformation, an orientation toward new technology, as well as domestic and foreign direct investment. The fiscal policy should follow these guidelines by enacting appropriate tax reform. I believe that we must seek advantages in our characteristics and not excuses for being geographically small and locally limited. The economic policy should take advantage of the favourable economic growth, and through proper incentives ensure the creation of new jobs so that highly-qualified people will not seek opportunities abroad so that our country will further develop into the place where professionals would like to live and work."


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