70 Years Anniversary Bulletin PTE No

No. 1/2016 Special Edition Polish Economic Society ISSN 1507-1383

BulletinPOLISH ECONOMIC SOCIETY ISSN 1507-1383

Headqurters of the Polish Economic Society, 49 Nowy Swiat Street, Warsaw Polish Economic Society 70 years anniversary Bulletin PTE No. 1 (72) 2016 I 1 Polish Economic Society

Contents Introduction 3 21st Congress of the National Board of the Polish Economic Society 4 u 8 The New Authorities of the Society 6 Polish Economic Society’s Seventieth Anniversary – Małgorzata Burchard-Dziubińska 8 Thursdays at the Economists 12 The Transformation Process in Poland and its Results – Stanisław Rudolf 21 Poland’s Socio-Economic Potential and Barriers 12 u u to Its Use – Elżbieta Mączyńska 27 Poland’s Economy: Current Situation and a Look Ahead – Zbigniew Matkowski 32 The Main Directions of Activity of the PTE Branches – Bogdan Ślusarz 36 Economic Knowledge Competition: u 36 A Tradition with a Future – Stanisław Owsiak 40 International Cooperation of the Polish Economic Society – Stanisław Rudolf 45 Scientific Council of the Polish Economic Society – Jerzy Kaźmierczyk 50 New PTE Publications 52 Professor Antoni Kukliński – One of the Founders of the Strategic Thought Forum 54 54 u The Uneven Distribution of Income Threatens Civilization 55 Professor Edward Szczepanik – Economist, Soldier, Statesman – Kazimierz Starzyk 56 Polish Economists in the World 59 News 61 u56 Economist’s Questionnaire – Stanisław Owsiak 62

62 u

2 I Bulletin PTE No. 1 (72) 2016 Polish Economic Society

Ladies and Gentlemen Bulletin PTE The Polish Economic Society (PTE) has for the second time prepared a Bulletin in English. This Bulletin is addressed to societies of economists in Free Magazine other countries, and through them to a wide range of economists abroad. In this way we hope to reach foreign readers who so far have not been in Publisher: contact with the Polish Economic Society, our aim being to increase and Zarząd Krajowy Polskiego enhance our wide-ranging international cooperation. Towarzystwa Ekonomicznego The contents of this Bulletin introduce the nature and 00-042 Warszawa, objectives of our activities, as well as their scope and scale, ul. Nowy Świat 49 with emphasis on our international activities. As can be Tel.+48 22 551 54 01, seen, both the National Board of the PTE and each of the Fax + 48 22 551 54 44 23 PTE Branches are engaged in and open to such coop- www.pte.pl eration. In addition, the reader will find a brief description www.kongresekonomistow.pl of the activities of the Forum of Presidents of Economic Societies in the countries of Central and Eastern Europe, President of the National Board: organized by the PTE. Elżbieta Mączyńska http://www.pte.pl/pliki/pdf/VADE_1-36_www.pdf) [email protected] This Bulletin is also addressed to economists of Polish origin who permanently reside abroad, working either as academics or engaged in busi- Edited by: ness (or retired). We maintain constant cooperation with many of them, Bogdan Ślusarz, Bogusław Fiedor, who participate in our seminars and congresses. Some have sent their CVs, Stanisław Rudolf, Stanisław which we have put on our website (http://www.pte.pl/130_ekonomisci_ Gliński, Paweł Adamczyk, Michał polscy_w_swiecie_pte.html). We are very anxious to expand such coopera- Plewczyński, and Iwona Dudzik tion and hope that this Bulletin will contribute to that. This may be in the form of scientific, business, or organizational cooperation. Reviever: The main objective of this publication is to provide foreign readers with Maciej Kozłowski information about the nature and forms of the PTE’s activities. The variety Graphic design, DTP: of these forms has its roots the PTE’s long tradition, which goes back 200 Studio Ling Brett years and is associated with the involvement of Polish economists in the nation’s socio-economic development. It is worth emphasizing that 2015 Translated by: marked the 70th anniversary of the establishment of the PTE in its cur- Tadeusz Wejchert rent form. The Bulletin contains a text dedicated to this anniversary, which describes the stages of development of our Society and the diversity of its Print: activities, although only some of them are presented, such as: a series of sowadruk.pl seminars entitled Thursdays at the Economists, the Economic Knowledge Competition, the Forum of Strategic Thought, international collaboration, publishing activities, the activities of the PTE branches, and the activities of the Scientific Council of the PTE. We also describe the 21st Congress of Polish Economists, an important event which took place in May 2015. It was an election Congress, crowning the term of the previous authorities and appointing new PTE authorities for another five-year term of office The texts in the Bulletin relating to Poland’s transformation should be of interest to foreign readers. They describe the transformational changes which have taken place in Poland in the last quarter century, as well as present the views of economists on the future directions of Poland’s socio- economic development. Out of respect for tradition and pro memoriam, we also present the achievements of the deceased Polish economists, professors Antoni Kukliński and Edward Szczepanik. On behalf of the PTE National Board and myself I heartily encourage you to read the Bulletin, to cooperate with the PTE, and to visit our website, www.pte.pl, including its English edition. http://www.pte.pl/198_ English_version.html Elżbieta Mączyńska, President of the PTE

Bulletin PTE No. 1 (72) 2016 I 3 Polish Economic Society

21st Congress of the National Board of the Polish Economic Society On 28 and 29 May 2015 the 21st Congress of the PTE took place in Warsaw. Such Congresses take place every five years and are an important event in the Soci- ety’s activities. One hundred delegates, selected the next term. These directions are Knowledge Competition; publish- individually by the PTE Branches, set forth in a programme resolution ing activities, etc. attended the Congress, as well as of the Congress, which provides a l Making more extensive use of the current authorities of the Soci- summary of the ongoing discus- the network nature of the Society ety and invited guests. Prior to the sions, postulates, and opinions. l The necessity for a wider open- Congress the various PTE Branches ing of the Society to young econo- held their own Congresses, at which Special attention in the mists they elected the said delegates. The discussion was paid to: l The need to strengthen the po- l The desirability of the continu- National Congress summarizes and sition of the Society, both at home ation of such projects of the Na- evaluates the activities of the Socie- and abroad tional Board as the “Thursdays at ty for the period ending its five-year l Focusing more on the problems the Economists” meetings, together term. It also determines the future of economic practitioners with publication of their transcripts directions of activity of the Society on www.pte.pl; the Economic and elects the PTE authorities for

PROGRAMME RESOLUTION 21st National Congress of the Polish Economic Society 29 May 2015 n Having reference to the more eration included in the PTE statute. gional conferences, seminars, etc., than 200-year long tradition of the The PTE will cultivate this diversity l Continue to develop its publish- organized movement of economists as an essential feature of its identity ing activities, on Polish soil, the Polish Economic and as a development opportunity. l Continue to organize the Eco- Society (PTE) underlines its com- n Being aware of the enormous nomic Knowledge Competition, mitment to maintain the integra- pace of changes in the contempo- l Initiate special training programs, tion of Polish economists who share rary world in connection with the including with the use of Europe- common professional interests and dissemination of the new, informa- an Union funds, a concern for the country’s develop- tion-based civilization, as well as the l Develop the culture of strategic ment. The PTE also emphasizes its intensified conceptual confusion thinking in Polish society, pluralistic and apolitical character. surrounding the rapid new develop- l Continue working on the eco- It is and will remain open to all Pol- ments and forms of economic life, nomic education of society, edu- ish economists – of different origins the PTE, as a non-profit organiza- cation for entrepreneurship, etc. and traditions, different generations, tion, sees the need to spread the n Another main direction of the from all regions of the country as current economic knowledge, tak- PTE’s activity involves presenting well as those working abroad, with ing into account the developmental opinions and views regarding the different outlooks and economic challenges facing the country. For current socio-economic situation specialties, dealing both with busi- this purpose, the PTE will: and prospects for development of ness practices and science - who hold l Continue to organize congresses of the country. In particular, the PTE dear the goals and the rules of coop- Polish economists, national and re- intends to offer professional help

4 I Bulletin PTE No. 1 (72) 2016 Polish Economic Society

to the public in understanding and interest. In addition, the PTE par- environment, effective access to solving major problems through: ticipates in the issuance of the bi- the media should be emphasized, l Organizing debates and discus- monthly magazine “Ekonomista”, including the use of various forms sions on contemporary econom- while “Bulletin PTE” is an internal of systematic cooperation with tel- ic and social issues important publication aimed at ensuring that evision, radio, and the press. The for Poland, taking into account the activities of the PTE will reach PTE’s website will also be further the various trends of economic all circles, the release of which is developed and its content supple- schools, aimed at improving cooperation mented with educational issues. l Disseminating the content of between the Society’s Branches. n The PTE considers it highly these debates by posting their All these forms of publishing activ- important to deepen further coop- transcripts on the PTE’s website, ity should be maintained and de- eration with civil society organiza- transmitting the debates over the veloped. Publishing activity on the tions, among others, with the Polish Internet, etc., part of the Branches, in the form of Federation of Engineering Associa- l Creating a permanent team publications of magazines, books, tions, the Scientific Society for Or- (think-tank) consisting of promi- and regional bulletins, also deserves ganisation and Management, the nent members of the PTE, who attention and support. Accountants Association in Poland, will post views and opinions on n The PTE positively evaluates and the Polish Lawyers Association. current issues on the PTE’s blog. the experiences resulting from the The aim should be to elaborate l Preparing reports on the current decentralization of the organiza- common positions or undertake economic problems of the country. tional structure of the Society. The common initiatives. The above The PTE shall be open to en- resulting independence of Branches list is not exhaustive and the PTE trepreneurs and facilitate solving has contributed to the develop- remains open to cooperation with their problems, and will foster the ment of regional initiatives. The other organizations and representa- development of entrepreneurship, decentralization should foster the tives of various professional groups. including academic entrepreneur- further development of coopera- n The PTE will seek to strengthen ship and the development of small tion between the various Branches the position of Polish economists in and medium-sized enterprises. The as well as cooperation between the the international arena by increas- PTE will encourage employers to Branches and the National Board in ing their participation in congresses use the expertise and counselling order to achieve the effect of net- of the European Economic Asso- services offered by the Society. work synergy. This cooperation may ciation and International Economic n The PTE will continue to develop take forms such as: Association (IEA). The PTE’s grow- and strengthen the activity of youth l Creation of consortia to apply for ing position as a member of the IEA in the field of economics. Based on EU funds, and a leader among the countries of our positive assessment of the expe- l Joint applications for grants, Central and Eastern Europe should rience of the Economic Knowledge l Use of a network structure to con- be noted. This was fostered by, inter Competition and our continuing duct trainings commissioned by alia, the organization in Warsaw of ties with its winners and finalists, we central government offices, Post- the Forum of Presidents of econom- consider it necessary to implement graduate Studies, Schools, etc. ic organizations from these coun- the various forms of popularization n The National Board should play tries and the publication of the PTE of the PTE’s activities among local a coordinating role in implementing Bulletin in English. This course of communities. To this end we intend, these kinds of actions. The Board action should be continued by or- inter alia, to develop cooperation should intensify cooperation with ganizing another Forum combined with teachers of economic subjects. Branches by, inter alia, organizing with an international conference. The PTE should provide a platform external meetings of the PTE Board n It is necessary to take measures for collaboration among scientific or the PTE National Board Presidi- aimed at developing the history of circles, organizations of doctoral stu- um meetings in the various Branch- the PTE. dents, and others. es, organizing the presentation of n Members of the PTE also n Publishing is one of the PTE’s achievements of the Branches at consider it essential to strengthen important contributions to the pro- National Board meetings, wider in- mutual friendly relations by fully motion of economic knowledge. volvement of Branches in editing complying with the principles of As a result of establishing our own the PTE Bulletin, regular meetings professional ethics, tolerance, and publishing house, there has been of Branch Directors, etc. mutual respect for the views pre- a significant increase in the- num n In order to improve commu- sented by others. ber of our books attracting readers’ nication between the PTE and its Warsaw, 29 May 2015.

Bulletin PTE No. 1 (72) 2016 I 5 Polish Economic Society The new Authorities of the Society Professor Elżbieta Mączyńska, President of the PTE. Professor of economic sciences. A graduate of the University of Warsaw. Professor at the War- saw School of Economics (SGH), (Collegium of Business Administration, Institute of Corpo- rate Finance and Investment, Department of Research on Bankruptcies of Enterprises - Head of the Department). Director of the “Real Estate Appraisal” postgraduate studies at the SGH. Member of the Scientific Council of the Institute of Economic Sciences of the Polish Acad- emy of Sciences and a member of the “Poland 2000 Plus” Committee Presidium. Member of the Economic Sciences Committee of the Polish Academy of Sciences. President of the Pol- ish Economic Society, where she manages a series of seminars “Thursdays at the Economists” in the PTE, a series of open online debates. She directs the annual Polish-German seminars held (since 1992) in Germany at the Institute of European Studies in Vlotho (GESW). These seminars discuss economic systems, the social market economy and European integration. She chaired the Programme Council of the Eighth (2007) and the Ninth Congresses of Polish Economists (2013) and was a scientific editor and co-author of the monographs published after the congresses. In the years from 1994 to 2005 she was academic secretary of the Socio- Economic Strategy Council at the Council of Ministers (RSSG). Member of the National Development Council. A specialist in the field of economic analysis, finance and enterprise valuation, economic systems and strategy of socio-economic development. She is the author of over 200 publications on these subjects. ([email protected])

Professor Bogusław Fiedor, Vice President of the PTE for international cooperation. He is a Professor of Economics at the University of Economics in Wroclaw. In the previous term, he was the Rector, and currently is the Vice-Rector of this University in charge of In- ternational cooperation. Fiedor has written nearly 400 scientific publications. He specializes in environmental economics, history of economic thought, methodology of economics, and microeconomics. He led about 50 national and international research projects. He has taught at several American and German universities. he is a member of program councils and editorial boards of a number of renowned national and foreign periodicals. He is a Vice- chairman of the committee of Economic Sciences of the Polish Academy of Sciences, member of the Presidium of the conference of Rectors of Academic Schools in Poland. In the years 1997 - 2005 he served as Vice chairman of the Social and Economic Strategy council at the council of Ministers. ([email protected])

Professor Bogdan Ślusarz, Vice President of the PTE. Graduate of the Higher School of Education in Zielona Góra. Since 1995 an Assistant Professor, Head of the Department of Management of Public Administration at the Fac- ulty of Management at the University of Zielona GóraSince 1995 an Assistant Profes- sor, Head of the Department of Management of Public Administration at the Faculty of Management at the University of Zielona Góra. Author of over 30 publications and articles in the field of management, the raising of professional qualifications, economic and cultural transformation, and European integration. Member of the Presidium of the Polish Economic Society Branch in Zielona Góra. In 2004 he was appointed Director of the Department of Regional Policy at the Office of the Marshal. Member of the Steer- ing Committee of the international project “The Innovative Offensive of Three States – 3-CIP” within the framework of the Community Initiative INTERREG III C East Zone. ([email protected])

6 I Bulletin PTE No. 1 (72) 2016 Polish Economic Society

Dr. hab. Beata Majecka,Secretary General of the PTE . Since 1993 a university lecturer in the Department of Economics and Func- tioning of Transport Enterprises at the Faculty of Economics of the University of GdanskHer research interests focus on the following issues: the functioning of transport enterprises; the behavioural aspects of the functioning of enterprises; market behaviour of enterprises; the theory of enterprises; Poland’s contemporary social and economic problems. ( [email protected] )

Professor Marian Gorynia, chairman of the Scientific Council of the Polish Economic Society. Rector of Poznan University of Economics and Business; member of the Com- mittee of Economic Sciences of the Polish Academy of Sciences; member of the Scientific Council of the Institute of Economic Sciences of the Polish Academy of Sciences Professor Gorynia deals with issues related to the enterprises functioning at the juncture between the domestic economy and the foreign business environment, such as a strategies of foreign expansion, forms of entering foreign markets, internationalization of a company, foreign direct investments, and the international competitiveness of a company. Among other awards, Professor Gorynia has won the F. Skarbek Polish Academy of Sciences Award for his book: “Zachowania przedsiębiorstw w okresie transformacji. Mikroekonomia przejścia” [“Behavior of Enterprises During Transformation. Microeconomics of Transition”] (rektor@ ue.poznan.pl) konkurencyjność przedsiębiorstwa. Wielokrotnie wyróżniany, m.in. nagrodą PAN im. F. Skarbka za książkę “Zachowania przedsiębiorstw w okresie transformacji. Mikroekonomia przejścia”. ([email protected])

Professor Zdzisław Sadowski, Honorary President of the Polish Economic Society. In the years 1985–2005 President of the PTE. Professor of Economics, Emeri- tus Research Fellow at the University of Warsaw (1953-2005). Sadowski’s work focuses on macroeconomics, economic policy, statistics, and the theory of economic development. He was Deputy Prime Minister in the government of Zbigniew Messner 1987-1988. He is still active in the economic life and science. He is a corresponding member of the Polish Academy of Sciences (PAN), member of the PAN Presidium “Poland 2000 Plus” Forecast Commit- tee, as well as editor of the most important magazine of Polish economists, the “Ekonomista”. He is a member of and was presiding over the Polish As- sociation for the Club of Rome. He is a member of many national and international scientific societies. ([email protected])

Bulletin PTE No. 1 (72) 2016 I 7 Polish Economic Society

 Małgorzata Burchard-Dziubińska* Polish Economic Society’s Seventieth Anniversary The socio-economic movement on Polish territory has a tradition of more than 200 years.

Its beginning coincided with a the prominent activists dealing difficult period for Poland, whose with economic issues the follow- territory was divided as a result of ing persons deserve special recog- the series of partitions that took nition: Joachim Chreptowicz, a place in 1772 - 1795 between physiocrat; Stanisław Staszic, or- three powers: Russia, Prussia and ganizer of Polish industry (who in Austria. While in many European the years from 1808 to 1826 served countries various organizations as President of the Society); and and scientific associations were Count Fryderyk Skarbek, a leading freely established without any representative of Polish economic constraints and classical econom- thought in the period of the Pol- ic thought was developing, such ish Kingdom and a professor of activities on the Polish territory political economy at the Warsaw were hampered by the foreign au- University. thorities. However, even in these Economic issues were also a sub- difficult political circumstances ject of interest of the Międzyrzec ed at that time.1 the Poles managed to bring to life Economic Society established A new period in the develop- organizations which played an im- in the Prussian partition lands in ment of organizations represent- portant role in the development 1802, which focused primarily on ing economists began after Po- and popularization of scientific the issues of agriculture. In the land regained its independence knowledge, including the knowl- Austrian partition lands, along in 1918. Economic issues became edge of economics. with the Cracow Scientific Society particularly important in view of there was the Law and Economic the serious problems which af- Historical sketch Society, founded in 1867. Its pur- It is worth noting the creation of fected the Polish economy. One pose was to “educate and develop the Friends of Science Society in may mention here the need to jurisprudence and socio-economic Warsaw in 1800 (after 1808 - The merge the lands that existed for sciences in theory and practice.” Royal Friends of Science Society). such a long time under the dif- In turn, the objective of the Polish This Society was in operation until ferent legal systems imposed by Commercial and Geographical As- April 1832, when it was dissolved the foreign occupiers. Even be- sociation, founded in Lviv in 1894, as part of the repressions which fore regaining independence, the was to promote trade and collect followed the Polish November Up- Association of Polish Economists economic information about the rising. It brought together special- and Statisticians was brought to countries to which Poles emigrat- ists from a variety of fields. Among life in Warsaw in 1917. In 1921,

* Małgorzata Burchard-Dziubińska - Professor, University of Lodz 1 A. Pollok, Zarys historii Polskiego Towarzystwa ekonomicznego, http://www.pte.pl/211_historia_pte.html

8 I Bulletin PTE No. 1 (72) 2016 Polish Economic Society

 Małgorzata Burchard-Dziubińska*

two societies were established: the ous available sources of informa- publish the works written by Pol- Polish Economic Society in Lviv tion, it has been determined that ish economists during the wartime and the Economic Society in Kra- the founding meeting was (most occupation, and on the other to kow. These societies have played likely) attended by the following provide economic textbooks for an important role in the develop- Professors2: Jan Drewnowski, Jan universities. It was assumed that ment of Polish economic thought Dzięgielewski, Wacław Fabierk- the operation of the Society would in the interwar period. They also iewicz, Andrzej Grabski, Andrzej be developed through lectures, contributed to strengthening the Grodek, Bolesław Kłapkowski, Leon conferences, publications, and or- revived Polish state, which faced a Koźmiński, Adam Krzyżanowski, ganized cooperation in the field of serious currency crisis, hyperinfla- Witold Krzyżanowski, Edward science (at the professional level) tion, and suffered from the impact Lipiński, Jerzy Lubowicki, Zbig- with related national and interna- of the great global economic crisis niew Makarczyk, Feliks Młynarski, tional organizations. In the first of the late 1920s and 1930s. These Mirosław Orłowski, Kazimierz years after the war the Society was societies put forward legislative Owoc, Jerzy Rachwalski, Stanisław clearly of an elitist character. This initiatives and sent memorials to Rączkowski, Kazimierz Secom- was due to the small circle of mem- the state authorities in which they ski, Wacław Skrzywan, Czesław bers as well as their academic sta- presented their opinions on differ- Strzeszewski, Wacław Szubert, tus. Representatives of economic ent issues and suggested remedies. Józef Świdrowski, Edward Tay- practice could become members Another dividing line in the op- lor, Witold Trąmpczyński, Euge- only if they held a university di- eration of all Polish scientific soci- niusz Ugniewski, Aleksy Wakar, ploma. As a result, the number of eties was World War II. Following Edward Wojciechowski, Marcin members initially was small. its conclusion Poland was faced Wyczałkowski, Stefan Zaleski, and However, the Society’s forms of with completely new challenges Antoni Żabko-Potopowicz. activity were affected by the politi- related to the new political reali- The Society’s authorities were cal and economic changes which ties and the need to rebuild its de- elected at this meeting a statute took place in Poland, and soon stroyed economy. adopted which defined the objec- business practitioners were invited tives, organizational principles, to cooperate with it. Due to this The creation of the Polish financial base, and areas of activ- the Society began to grow rapidly Economic Society ity of the Society. This statute was and its training activities were in- The post-war history of the PTE published in the second issue of tensified. began in Lodz, where in the first the flagship PTE journal ‘Ekono- Beginning in 1949 new local days of December 1945 a meeting of mista’, which was resumed in branches began to be established. representatives of the social move- 1947. It is worth noting that the By 1955 they existed in the cities of ment of economists from Warsaw, journal was released intermittent- Gdansk, Katowice, Kielce, Krakow, Krakow, Poznan, Lublin, and Lodz ly since the mid-nineteenth cen- Lublin, Lodz, Poznan, Szczecin, took place. It was then decided to tury. Based on the decision of the Warsaw, and Wroclaw. PTE clubs reactivate the society, thus integrat- President of Warsaw on 11 January also began to emerge in enterprises ing the milieu of Polish economists. 1946 the PTE was registered in the and conducted intensive training The Polish Economic Society was official “Register of Associations activities. At its peak, in the years established in place of several au- and Unions.” 1970 – 1980, the Society had more tonomous organizations previously Already during the meeting in than 50 thousand members. operating. It took its name from Lodz attention was paid to the The activities of the Society the Society operating since 1921 in need for the development of the have always been closely linked Lviv. Taking into account the vari- publishing activity. This was due, with the fate of the country and on the one hand, to the desire to the changing economic situa-

2 There is no firmly reliable source on the participants in the founding meeting of the PTE. This study used Zarys historii [Outline of History], published in 1985 by the Lodz branch of the PTE; J. Orłowska, T. Orłowski, Polish Economic Society, PTE Warsaw, 1985.

Bulletin PTE No. 1 (72) 2016 I 9 Polish Economic Society

tion. This has been visible during the consecutive meetings of Pol- ish economists, since 1987 called Congresses. They offered, and still offer, an opportunity to debate and present views on the most important economic problems of the country and the world. The activities of the Society have also been a response to the needs of the national economy, related to the implementation of the successive development plans adopted by authorities, as well as the attempts to undertake reforms. One of the most important was undoubtedly the introduction of a system of large economic organizations in 1973. Almost all activities of the late 1980s led to the transforma- is worth noting that it was the ini- Society were then subordinated to tion of the economy towards a tiative of the Lodz Branch of the the popularization and implemen- market system. This peaceful tran- PTE to organize the Economic tation of this system, compris- sition began with the so-called Knowledge Competition. Initially ing organizations which provided “Round Table” talks in 1989. The it was held in each province indi- about 70% of industrial produc- leading economists/members of vidually, and after 1978 became a tion of the country. the Society became engaged in competition between provinces. The early 1980s remains etched the implementation of the newly Since 1987 it has been organized in the memory of Poles as a time agreed-upon tasks. This radical at the national level. of economic and social crisis and change in the system forced the upheaval. But even then it was be- Society to adapt to the new re- Anniversary conference lieved that there was a need for re- alities, and the ensuing tasks were A scientific conference to - cel form, which was expressed during undertaken during consecutive ebrate the 70th anniversary of the the 4th Meeting of Polish Econo- meetings in 1989, 1991, and 1993. PTE took place in Lodz on 27 No- mists, which met under the motto The Society adopted a new statute vember 2015. It was entitled “The ”The reform cannot go wrong.” and organizational changes were History and Future of the Polish The role of the Society in the pro- implemented. In addition to the Economic Society.” The conference cess of reforming the economy was national authorities of the Polish program included inauguration greatly enhanced when the Presi- Economic Society, with its seat in speeches delivered by Dr. Jarosław dent of the PTE, Prof. Zdzisław Warsaw, the Society presently con- Marczak, the President of the Lodz Sadowski – who took office in sists of 23 regional branches. They branch of the PTE, and by Prof. 1985 – in 1987 became the Deputy are independent in terms of their Elżbieta Mączyńska, President of Prime Minister responsible for the finances and under law. The Soci- the National Board of the PTE. economy. ety is a fully pluralistic association, Following the opening ceremony a At the same time however, it open to cooperation with econo- plenary session began, chaired by became increasingly evident that mists entertaining different views. Małgorzata Burchard-Dziubińska, the system of a centrally planned An important element of the the initiator and President of the economy was inefficient, and that Society’s activities is cooperation Organizing Committee. the attempts to reform it were with the youth. Initially it was The first speaker at this session ineffective. The deep crisis into limited to economic vocational was Prof. Elżbieta Mączyńska, which Poland was plunged in the schools, but now also includes sec- who on behalf of Prof. Zdzisław ondary schools and universities. It Sadowski, the Honorary President

10 I Bulletin PTE No. 1 (72) 2016 Polish Economic Society

of the PTE, presented a paper pre- Prof. Eugeniusz Kwiatkowski’s ic education in Western Pomerania pared by him especially for the oc- speech was devoted to the issues and introduced several significant casion. Next President Mączyńska, of economic development in the figures among the Society’s activists both on her own behalf and on Polish economic thought in light in the area (professors Józef Rut- behalf of the National Board, and of the work of Prof. Janusz Górski, kowski, Waldemar Grzywacz, Adam emphasized the role of the PTE in who analysed the economic de- Szewczuk and Henryk Babis). the development of the economic velopment through the prism of Prof. Mirosław Bochenek dis- debate in Poland over the past sev- modern economic theories, com- cussed, in his speech, the work enty years. She talked about the pared the views of Polish econo- and professional activity of Oskar most important events and the ac- mists with mainstream econom- Lange, an eminent scholar and activists who have contributed to the ics, and evaluated the originality tivist in the PTE. He also present- development of economic thought of economic views based on their ed the jubilee medal dedicated to and had a significant impact on relevance in explaining and im- this scholar. economic processes in Poland. proving the depicted reality. The presentation of Prof. An important element of the Another speaker, Prof. Stefan Małgorzata Burchard-Dziubińska, conference involved the lecture by Krajewski, in an emotional speech entitled ‘It Started in Lodz...’ was Prof. Alojzy Czech, entitled: ‘The recalled the figure of Prof. Jan devoted to the period of formation Establishment of the PTE in 1945 Mujżel and his special role in the of the Polish Economic Society Against the Background of Eco- education of consecutive genera- immediately after World War II. nomic Associations and Societies tions of leading economists in the The lectures aroused a great deal in the Interwar Period in Poland.’ past difficult times. He stressed the of interest and enthusiasm among In this speech he presented the in- importance of the open debates, the participants, who were encour- terwar period history of scientific unhindered by ideological correct- aged to ask questions and take societies associated with econom- ness, which took place thanks to part in the lively discussion that ic thought as broadly understood. the inspiration of Prof. Mujżel. followed. This confirmed the need He pointed out that during that The lecture of Prof. Aleksander for and relevance of organizing period the milieu of economists Panasiuk concerned eminent econ- conferences which refer to history was strongly integrated with rep- omists of the Szczecin PTE milieu. and at the same time stimulate resentatives of other disciplines, The speaker recalled the history of reflection on contemporary eco- especially law and statistics. the development of higher econom- nomic problems.

From left: Prof. Elżbieta Mączyńska, Prof. Stanisław Rudolf, Prof. Jarosław Woźniczka, Dr. Monika Hajdas, Prof. Witold Kowal

Bulletin PTE No. 1 (72) 2016 I 11 Polish Economic Society Thursdays at the Economists This is a series of seminars devoted to the most important economic topics, open to all interested persons and transmitted online via the Internet at: https: //pte.clickwebinar.com. We post information about seminars on the PTE website. Photoreports, shorthand records, and other materials are available at: https://pte.clickwebinar.com/debata. Welcome!

“Vocational Education and Socio- “Social Capital” economic Development” – 12 March 2015 – 22 January 2015 Prof. Stanisław Walukiewicz, Systems Re- search Institute, Polish Academy of Sciences: The role of science, in particular the two-dimensional economics, is to help people to distinguish those cases where exceptions prove the rule from those cases where exceptions become the rule. Allow me to give an example. Tax fraudsters usually account for about 5% of the population, which means that the vast majority of people file honest and fair tax returns. But in pre-crisis Greece, 95% of tax declarations were false. So frauds were not an exception there, but constituted the rule. From left: Teresa Kazimierska, Michał Wójcik, The case of Greece clearly shows that you could not Dr. Michał Kruk make rational decisions based on the false assumption Dr. Michał Kruk, Institute of Contemporary that the Greeks filed honest tax statements. Although statements such as “demand equals sup- Civilization Problems: ply” or “credit” is equal to “debit” are truths of an The dual system of vocational education involves acknowledged type, to ignore them or to keep one’s a combination of theoretical learning at school with head in the economic clouds ends up in a hard and learning through practical experience in the workplace. It is widespread in Austria, Germany, and Switzerland, painful collision with reality. You can see this per- where special emphasis is placed on acquiring skills fectly in the case of Greece. under an employment contract. Students, depend- Participants: Prof. Stanisław Walukiewicz, Krzysz- ing on their educational profile, work for two, three or tof Pietraszkiewicz, Prof. Przemysław Śleszyński, even four days a week in a company that cooperates and Prof. Elżbieta Mączyńska. with the school. The dual system stands in contrast to the traditional system, which provides for obtaining knowledge and skills based solely on theoretical learning at school, and relegates working in a company to an incidental phenomenon. In Austria 45% of people learn under the dual system of vocational training, in Switzerland 90% and in Germany 75%. In Poland, only 20-25% of the total number of students undergo the dual system of vocational education. Participants: Dr. Michał Kruk, Witold Woźniak, Teresa Kazimierska, Michał Wójcik, and Prof. Elżbieta Mączyńska From left: Krzysztof Pietraszkiewicz, Prof. Stanislaw Walukiewicz, Prof. Elżbieta Mączyńska, Prof. Przemysław 12 I Bulletin PTE No. 1 (72) 2016 Śleszyński Polish Economic2015 Society Thursdays at the Economists Debate: “Comparisons in Econom- Prof. Łukasz Hardt, head of the Department of Political Economy at the University of Warsaw: ic Sciences – An Art or a Craft?” A fundamentalist in science believes it is possible to dis- – 19 March 2015. cover universal generalizations and universal laws of nature which do not depend on the context. Personally, I think that such laws are, in economics, very scarce, if there are any at all. The authors referred to Prof. Kowalik, but it seems to me that this book also refers largely to neoclassical, Marshall economics. One of my favourite quotes from Alfred Marshall is from the “Principles of Economics”, the bible of neoclassical economics, stating that while science, including economics, passes through different stages of development, the laws of science should correspond with what they describe. In this sense Marshall, who is one of the fathers of neoclassical economics, probably thought that economists should not be doctrinaires or fundamentalists. Participants: Prof. Stanisław Flejterski, Prof. Jan Kr- From left: Prof. Jan K. Solarz, Prof. Barbara Liberska, zysztof Solarz, Prof. Łukasz Hardt, and Prof. Barbara Prof. Łukasz Hardt, Prof. Stanisław Flejterski Liberska.

“The Transatlantic Partnership in Przemysław Wielgosz, Chief Editor of “Le Monde diplomatique – Polish edition”: the Field of Trade and Investment” The new free-trade projects such as TTIP, CETA and – 21 April 2015 TPP should be seen against the historical background of the crisis over the model of capitalism which developed after World War II, in which increases in productivity, GDP, and profits were accompanied by increases in the standard of living, wages, social transfers, etc. Today capitalism has become stuck in one place, spinning its wheels for three decades, with major centres of the system characterized by stagnation, low growth, a decline in the production and investment rates, and low productivity growth. This has not been changed by the neoliberal policies or the technological revolution feted by so many. In this crisis situation, the spheres of social life which are still free from the reign of the logic of capital (goods) become fields for From left: Konrad Gliściński, Maria Świetlik, accumulation. Wages, social security systems, pension Przemysław Wielgosz, Jakub Grzegorczyk systems, public services, and social rights are, from the point of view of monopoly and financial capital, viewed as The debate of the Polish Economic costs and an unnecessary burden depriving capital of part Society and “Le Monde diplomatique - of its profit. They are like a mountain of frozen money Polish edition”, with the support of the unfit for use - therefore one should defrost the mountain, Róża Luksemburg Foundation. liquidate it, and redirect its flow to the funding systems of

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private corporations. Therefore, according to the meth- The new “pastures” envisioned involve the domain ods of neoliberal crisis management it is important to: of common goods, which includes cultural, intellec- limit the growth or even decrease real wages, privatize tual and genetic heritage, environmental requirements social security systems, pensions, and public services, (limiting the possibility of shifting the costs of waste and reduce social rights by, for example, deregulat- recycling on the environment), quality and consumer ing labour law. This philosophy explains the 30-year standards, food quality, digital rights, public space in decline in the share of wages in the GDP of Europe, cities, labour laws, employment standards etc. We are and the stagnation and decline in real wages suffered therefore faced with a radicalization of the existing neo- by 80% of employees in the US, the destabilization of liberal strategy of crisis management. Large monopolies labour relations (precarization), and the privatization and oligopolies need free trade, but for them this word (commodification) of public services and social- se means first of all a great fusion allowing for the expan- curity systems. Up until 2007-2008, the social conse- sion of their market shares, as well as the possibility of quences of this situation, i.e. an increase in inequality increasing internal trade in goods and thus financial and a decline in social demand, were compensated for flows and growth of profits, which for years have been by means of loans, thereby supporting consumption. drifting on a stagnant track. In short, today’s monopo- This model has collapsed. lists need to retool the sputtering engine of capitalism. In the current situation we can observe a new phase The reason they seek to abolish non-tariff barriers is of crisis management aimed at saving the endangered because this new capitalism is not able to move forward, profits. It involves some kind of new primitive- accu it wants to grab what has not yet been subdued. So we mulation, which means that - as Zygmunt Bauman wake up in the world of TTIP. said – “capital is looking for new pastures.” But since Quotation from conference proceedings entitled the collapse of the Eastern bloc in 1989, when the non- “TTIP - Transatlantic trap”, ed. Przemysław Wielgosz, capitalist zones were no longer to be found in the world, Wydawnictwo Książka i Prasa, Warsaw 2015. capital has turned to those areas of social life which in Participants: Prof. Stanisław Rudolf, Przemysław past decades has been un-commodificated, or at least Wielgosz, editor, John Hilary, Prof. Leokadia protected against commodification. In the jargon of Oręziak, Grzegorz Konat, Marcin Wojtalik, Kon- TTIP supporters, various forms of non-commodifica- rad Gliściński, Maria Świetlik, Dorota Metera, tion are called non-tariff barriers or indirect expropria- and Jakub Grzegorczyk tions.

The European Union Funds: Professor Grzegorz Gorzelak, director of the Centre for European Regional and Local Studies of Warsaw Opportunities and Threats” University: – 11 May 2015 The question arises: Are the funds flowing from the EU supposed to meet social or developmental goals? Initial assessments show that only a rather small part (we do not know exactly its dimensions) is spent on development projects. Strategies and programs talk about development, but only on paper, and in practice this does not happen. Although we take part in a fairly expansive programme “Innovative Economy”, Poland continues to be one of the lowest ranking countries according to the European Innovation Scoreboard. Our innovation is not increasing as dramatically as one might assume from looking at the inflow of funds for “innovative” projects. Participants: Prof. Grzegorz Gorzelak, Dr. Jan Ol- brycht, Janusz Sepioł, Jacek Woźniak, Dr. Piotr Zu- From left: Janusz Sepioł, Jacek Woźniak, Prof. Elżbieta ber, and Prof. Elżbieta Mączyńska Mączyńska, Prof. Grzegorz Gorzelak

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“The Pros and (Positive?) Cons of Discussion of the book of Prof. Ryszard Bugaj Prof. Ryszard Bugaj, Institute of Economic Sciences of Polish Capitalism Without the Polish Academy of Sciences: Solidarity” – 21 May 2015. The paradigm of neoliberal economics is creaking at the seams. There are numerous doubts as to its reason- ableness and fairness, and only a few continue to abso- lutely support it. The problem is that this paradigm has not been replaced by any other consistent idea. Hence the first proposal, which I formulate, is a proposal to strengthen the institutional way of thinking about Po- land’s strategic problems in the long term. It should be a way of thinking aimed not only at influencing the political class, but also aimed at making sure this way of thinking found its way into the dialogue with citizens. That’s what we are missing. Participants: Prof. Ryszard Bugaj, Prof. Maciej Bałtowski, Prof. Krzysztof Jasiecki, Prof. Witold From left: Prof. Maciej Bałtowski, Prof. Krzysztof Jasiec- Modzelewski, Prof. Elżbieta Mączyńska, and Prof. ki, Prof. Ryszard Bugaj, Prof. Stanisław Rudolf, and Prof. Stanisław Rudolf. Elżbieta Mączyńska

“On the Economics of a New Pragmatism”, by Grzegorz W. Kołodko – 16 June 2015

Prof. Maciej Bałtowski, Maria Curie-Sklodowska Uni- versity in Lublin: Good economics is not just a description of the world, but also an instrument to change it for the better. When we compare this with the goal which is set by orthodox, classical economics, we can see a fundamental difference, From left: Prof. Andrzej Matysiak, Prof. Grzegorz Kołod- even a contradiction. But this contradiction is illusory. I ko, Prof. Maciej Bałtowski think that the approach presented by Prof. Kołodko is justified and results from the methodological peculiarities of because the systems are very different. They have differ- science and economics. Economics is a science different ent structures, different incentive systems, and differ- than all the others because the object of study, namely ent ways of regulation. But nonetheless this teleological the economy, exists for some purpose. That is, it creates nature, this product at the end, provides the possibility products, services and so on. This criterion of purposeful- to compare them. The better economy is the one which ness is very important, and is implemented differently in better fulfils its purpose: the production of more goods different types of economic systems. But always there is a with respect to the expenditures incurred. In turn, if we final product, with some expenditures as the input. This evaluate which economic system is better and which relationship between the results and exact sciences is al- is worse, we can then move on to a recommendation, ways determinative. And it is this peculiarity of economics to a normative analysis in the classic sense (the third that makes the cognitive process in economics different step). To quote from Prof. Kołodko: “Comparison is the than in other social sciences, not to mention the exact sci- primary research method in economics. The evaluation ences. This process can be described in four steps. The follows naturally from the comparison.” If we look at the first is a descriptive analysis of economic systems. The historical development of economics, we have a trend second step is then quite natural - namely comparison, of pure economics. The term “pure economics” comes

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from Walras, but previously there was Ricardo, deduc- the economy leads directly to a better economy. It is not tive economics, Marshall, von Mises, all the way down to only about knowing, understanding, and describing, but the neoclassical synthesis. All these economists treated also about showing what a better economy should look the science of economics as that which is to describe, like. This is the fourth step. understand, and explain reality. However, there is also a Participants: Prof. Maciej Bałtowski, Prof. Andrzej trend towards a postulative economy, which begins with Matysiak, Prof. Grzegorz W. Kołodko, and Prof. Smith, and a good deal of pragmatism undoubtedly fits Elżbieta Mączyńska into this trend. This is a trend in which the analysis of

“Rural Development and SMEs in the Context of the Functioning of Cooperative Banks” – 15 October 2015

A debate organized by the Polish Economic Society and the Bank Polskiej Spółdzielczości SA [Polish Co-operative Bank] Zdzisław Kupczyk, President of the Bank: For 153 years now, co-operative banks in Poland have invested in rural areas and small and medium- sized enterprises. In this way they built an economic civilization and raise the standard of living in these areas. They have survived many historical perturba- tions and still operate today. We are the institutions closest to the people - we adapt our products to the From left: Prof. Andrzej Bień, Prof. Elżbieta Mączyńska, regions in which we operate, according to our tradi- Zdzisław Kupczyk, Prof. Piotr Masiukiewicz, Bartosz tion, and we have a stabilizing effect on the econ- Kublik omy, even in a situation of crisis. The involvement of co-operative banks in loans to the SME sector is Prof. Andrzej Bień, Warsaw School of Economics: significant, especially compared with total assets. In It must be emphasized that the sector of the co- this way we play an important role in revitalizing ru- operative banking is very safe. It is a native banking ral economies and help build the capacity of small- sector, which operates here and has its roots here. and medium-sized enterprises. It is worth keeping Thanks to this sector Polish money is providing in mind that co-operative banks not only engage in credit to the Polish economy. In many cases, co- business objectives, but also take a number of initia- operative banks have supported transactions related tives for the communities in which they operate. Co- with the very rapid growth in the export of Polish operative banks and affiliating banks provide prefer- food, without waiting for other organizations com- ential loans with subsidies from Agencies. Although petent to deal with this problem. Many farmers it is a large burden, our Bank and co-operative banks have consolidated their production in order to be provide approximately 80 million zlotys per year in able to export and find new markets. They have suc- funding projects in the AGRO sector, reflecting our ceeded thanks to the funding and understanding of constant commitment and demonstrating that our cooperative banks. involvement in the government programme is very Participants: Zdzisław Kupczyk, Prof. Andrzej important for building the economic substance of Bień, Bartosz Kublik, Prof. Piotr Masiukiewicz, and the rural environment. Prof. Elżbieta Mączyńska

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“The Economic Crisis and the Crisis of Values” – 22 October 2015

Discussion of the book by Paul H. Dembinski and Simona Beretta Prof. Andrzej Herman, The Collegium of Business Administration, Warsaw School of Economics: The processes of globalization in the current neoliberal version accentuate not only economic problems, but also social and cultural problems, and at the in- The presidium table from left: Prof. Andrzej Herman, dividual level. Therefore, it is imperative not only to Prof. Paul H. Dembinski, Prof. Jerzy Wilkin, Dr. hab. recognize the problem of creating economic value, but Grzegorz Szulczewski also to see it in the context of the destruction of other values which accompany the process of creating eco- e.g., raw materials or works of art; nomic value by trying to commodify everything and in and the excess which results from this way supposedly demonstrate the superiority of the a different kind of rarity, namely, economy. From this point of view economics is becom- when production lags behind ing less and less socially acceptable, because it tends to demand and the market. Man- appropriate more and more areas of social sciences, and agement of excess must also be often economists are inclined to forget that economics seen, as Piketty writes, in the is a part of culture; it is only a tool, a means to achieve context of the fateful distribu- certain goals. For example, “globalization and human tion on a global scale. This prac- rights” is an area that is worth developing, including tical dimension of economic axi- from the point of view of the processes of capital ac- ology is gaining in importance, cumulation. Prof. Dembinski deals primarily with the because the values grow out of accumulation seen from the financial aspect and with human needs and one cannot the creation and/or destruction of value. It is also worth bring these values into the extreme neo-liberal form, as referring to the most recent work of Prof. Kornai, who the economic sociologist Gary Becker tried to do in his 40 years ago wrote about the economics of shortages, work on the economic justification of human activity. and today writes about the management of excess and Participants: Prof. Paul H. Dembinski, Prof. An- distinguishes two kinds thereof: the excess which results drzej Herman, Prof. Grzegorz Szulczewski, and Prof. from the fact that something is missing, even if only, Jerzy Wilkin.

“The Explosion of Inequality?” – 3 November 2015 The debate of the Polish Economic Society and the Polish-American Foundation for Education and Eco- nomic Development on the book Prof. Maria Jarosz and Prof. Marek W. Kozak entitled “The Explosion of Inequality”

Prof. Maria Jarosz, Institute of Political Studies, Pol- ish Academy of Sciences: From left: Prof. Adam Wielomski, Prof. Andrzej Zyberto- I would like to draw your attention to one dimension wicz, Prof. Maria Jarosz, Prof. Elżbieta Mączyńska, Paweł of inequality related to exclusion. Statistics show – not Budrewicz, Prof. Dariusz Juruś, Prof. Marek W. Kozak

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only in our country, but also in Europe - that an un- ceeded six thousand and now oscillates around this educated man, who is now 20-30 years old, will have number, with the highest suicide rate being reported an average life span about ten years shorter than his among the unemployed, and now also among farm- educated peer. Viewed in this light, old age pensions ers. Although postulating with incomplete data, it become a misunderstood injustice. If people receive appears that this latter phenomenon most often con- pensions at the same age, how can these poor, un- cerns farmers who have taken out large loans and can- educated persons live to reap the same retirement not get out from under debt. There is another striking benefits as their educated peers? A lot can alsobe fact: nowhere in the world is the difference between learned about exclusion from the data on suicides. As the suicide rates of men and women so large as in a sociologist, I think that a death by suicide is an in- Poland. In Poland six times more men take their own dicator of the disintegration of the society, a problem life than women. In the 1990s this ratio was five-to- which I have pointed out in many of my books. Re- one. We are regarded as a country of strong women cently, I wrote a book entitled “Suicides: Why now?” and increasingly weaker men. In previous times too I wanted to answer this question because something our women were always strong; the men fought in the has changed since 2009. My research and analyses wars or were in exile, while the women dealt with the cover more than 60 years, and during these 60 years children and managed the home. Prof. Janusz Taz- the number of suicides has constantly increased, by as bir quotes a Russian saying which can be translated much as 400%. There were however two periods when as ‘Here in Poland a husband is not more important suicides suddenly dropped - by 35% in 1981, then than a woman’, in comparison to the phenomenon in again at the turn of 1989 and 1990, which undoubt- Russia, where the husband was deemed more impor- edly was connected with the situation in the country tant than the wife. Now this has changed in the sense during these periods, being times during which com- that women are becoming better educated, taking mitting suicide seemed illogical, because something up more senior positions and, above all, have much good may happen. In 1981, the highest suicide rate higher requirements in relation to husbands or part- was among steelworkers, miners, and shipyard work- ners. They feel their men should earn more and they ers, i.e., the core of the working class. There was also should take care of the house. And in general they one group where the number of suicides increased are bad in bed. Men, often having a macho image in rather than decreased. This was the group of deci- their minds, cannot not adapt to these changing con- sion-makers in the middle and senior management. ditions in the same way that women do and increas- It was all a brief moment, however. In 1982, when ingly more often simply end their lives. martial law was instituted, the number of suicides increased again. After 1990 it also grew slowly, although Participants: Prof. Maria Jarosz, Prof. Marek W. it tended to stabilize at about five thousand persons Kozak, Prof. Dariusz Juruś, Prof. Adam Wielomski, committing suicide annually (Index 15). Then sud- Prof. Juliusz Gardawski, Prof. Andrzej Zybertowicz, denly, beginning in 2009, the number of suicides ex- Prof. Elżbieta Mączyńska, and Paweł Budrewicz.

“Is True Corporate Social Responsibility Possible in Practice?” – 25 November 2015

The debate of the Polish Economic Society and the MBA Club Jacek Santorski, Academy of Leadership Psychology, Warsaw University of Technology Business School: If we talk about values, consistency is very important. Meanwhile, only a few of our customers are fully consistent in the CSR strategies which they implement. The most spectacular example for me concerns a situation whereby, on one hand, we were advising a company in terms of CSR Piotr Wierciński before the microphone, Jacek Santorski strategy, and on the other hand we were running manage- on the right

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ment training in the field of the art of presentation of the could not teach this director how to make a great, thrilling CSR policy of a company. During a management train- presentation about CSR. I have learned the hard way how ing session I heard a presentation of one of the directors, inconsistent companies can be, whereby on one hand they who spoke about how the company manages the forced might have a budget allocation to support CSR, e.g., a trade credit. This procedure makes it possible to have an nursery school, kindergarten; and on the other they openly invoice payment period of 30 days, not 14. Then on the treat their business partners as someone upon whom they 28th day they find some error, and immediately postpone can force a trade credit. the execution of the payment to the next month. In addi- Participants: Dr. Jacek Dymowski, Prof. Janina tion there is still the appeal procedure. In this way, 70% of Filek, Jacek Santorski, Prof. Grzegorz Szulczewski, payments can be delayed for 90 days. I realized then that I and Prof. Elżbieta Mączyńska

“Risk Management in Polish Medium-, Small- and Micro-sized Enterprises” – 26 November 2015

Prof. Romuald Holly, Warsaw School of Economics The subject of our research, conducted in the early spring and summer of 2014, was the attitude of own- ers and managers of small-, medium-, and micro-sized enterprises to market offers addressed to them by insurance companies, banks, subscription companies (including leasing companies), and other from firms operating in the financial and insurance markets. First From left: Prof. Juliusz Gardawski, Prof. Romuald Holly of all, we wanted to find out why these companies made such little use of these products. It is estimated We take into account the inadequate structural that only 20-25% of small-, medium-, and micro-enter- criterion for the product offers. As it turns out, the prises take advantage of these offers. formal classification into small-, medium-, micro-, It seems that they expect something different than and large-enterprises is less important than the clas- what we offer them. Our products offer primarily resti- sification which results from the position and the tution, through financial compensation, of a firm to its role these enterprises play in the economy and the state before the risk materialized. “What’s good does environment in which they operate. that do? - said a business operator. “When a fire breaks Participants: Prof. Juliusz Gardawski, Prof. out and my company burns down, I will receive the Romuald Holly, Dr. Maria Błoszczyńska, Dr. amount corresponding to the loss I have suffered, but Dominika Cichońska, Katarzyna Kędzior, and Prof. my company will no longer be here.” Elżbieta Mączyńska

“Ideas for the Crisis: Polish Economists Rediscovered” – 30 November 2015

The debate of the Polish Economic Society, “Le Monde diplomatique – Polish edition” with the support of the Róża Luxemburg Foundation Prof. Jerzy Osiatyński, Institute of Economic Sci- ences of the Polish Academy of Sciences and the Mon- etary Policy Council: Michał Kalecki and Kazimierz From left: Prof. Jerzy Osiatyński, Prof. Elżbieta Mączyń- Łaski, in their deliberations on the golden rule of accu- ska, Przemysław Wielgosz, Grzegorz Konat

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mulation, focused attention on a kind of “movement” freely operating market mechanisms, or does its fulfil- of the golden age economy along the “knife-edge” (in ment require state intervention? On the basis of the the sense of Harrod). They showed that the effect of theory of both Kalecki and Łaski, this condition requires investment is twofold. On one hand, when incurring state intervention. The authors claim there is no such investment outlays income is generated, as a result of mechanism of market self-regulation which would en- which there may either appear inflationary pressures sure that effective demand would grow at exactly such (when the economy is running at full utilization of pro- a pace to ensure the full use of these constantly expand- duction capacity), or better utilization of production ing new production capacities. The same applies to a capacity takes place and employment, GDP, and busi- planned economy, if the equilibrium in the consumer ness and household income increase (when productive goods market is to be maintained. In their works on the factors are not fully utilized). On the other hand, at centrally planned economy, Kalecki and Łaski paid a some point these investments are placed into service, lot of attention to this need to maintain equilibrium, create new production capacity, and therefore begin to or equilibrium between the dynamics of the sector of compete with the existing production apparatus. What capital goods and consumer goods. In terms of its his- are the conditions for maintaining equality between torical evaluation, this is probably the most important, this new production capacity, which is the effect of new although not the only, piece of Prof. Kalecki’s achieve- investments, and the income and demand which arise ments in the field of a centrally planned economy in the process of investment construction and what is which remains valid until today as applied to a market the proper size which would ensure full use of the old economy, as is clearly shown by Łaski in his recent book. production equipment too? This is the “knife-edge” – Participants: Prof. Elżbieta Mączyńska, Przemysław permanent preservation of the condition of stability. Wielgosz, editor, Prof. Jerzy Osiatyński, Grzegorz Ko- Can this condition be satisfied automatically under nat, and Rafał Woś, editor

“Prospects for the Development of the Euro Area” – 15 December 2015 The debate of the Polish Economic Society and the Polish-American Foundation for Economic Re- search and Education, combined with the awards ceremony in the “Magister PAFERE” 2014-2015 competition, Edition V Stefan Kawalec, Capital Strategy, Chairman of the Board: What strategy should Poland adopt towards the Prof. Andrzej Sławiński, Stefan Kawalec, Prof. Elżbieta euro zone? Poland and the other EU countries which Mączyńska, Paweł Budrewicz have their own currency can, in practice, remain outside the euro zone for as long as they wish, without break- area may be much smaller in the future. The possibility ing treaty obligations. Developments in the euro zone of influence depends on the ease of movement. Today we show how high the costs are of the loss of currency in- have such ease of movement because, thanks to our own dependence. Today, of the 500 million citizens of Eu- currency, we are in a pretty good economic situation. We rope, about 170 million live in countries outside the have our own central bank and therefore can freely express euro zone, and one cannot expect this number to sig- our views. On certain matters we can even think about nificantly decline in the foreseeable future. During the taking a different stand than the largest European pow- discussions in the last couple of years, supporters of the ers. Within the euro area this freedom is gone. Countries euro mainly emphasized the expected political benefits. without their own currency and their own central bank They believed that we should declare a rapid entry into have significantly limited sovereignty. Poland should not the euro area just to be at the centre of decision-mak- lightly give up its own currency. On the other hand we ing. There is some rationale to this view, but I think that should make efforts to maintain the European Union, to the proponents of rapid entry into the euro area do not maintain the common market, and to prevent the exit of appreciate the economic costs of giving up their own the UK from the European Union. currency, which in my opinion are greater than the ex- Participants: Prof. Elżbieta Mączyńska, Paweł Budre- pected political benefits. In addition, the political ben- wicz, Prof. Andrzej Sławiński, Sebastian Wieczorek, efits may not materialize at all, because the opportunity Prof. Oskar Kowalewski, Stefan Kawalec, and Jacek to influence our fate in the European Union in the euro Czech 20 I Bulletin PTE No. 1 (72) 2016 Polish Economic Society

 Stanisław Rudolf* The Transformation Process in Poland and Its Results Interest in the transformation of the countries of Central and Eastern Europe has currently dwin- dled in the ‘West’. Some authors are of the opinion that the transformation processes have been largely completed, hence dealing with them has lost its relevance.

Introduction transition from a command econ- Most of the works on the subject omy to a market economy, was of were published within a dozen or a radical nature and is generally referred to as Poland’s “shock thera- so years following the start of the py.” During the implementation of transformation processes in the this process, the so-called “Wash- region. The authors attempted to ington Consensus” was relied on, sum up the transformation, to as- developed largely on the basis of sess both the economic and social the experiences gained from the results, as well as to point out its implementation of transforma- faults and weaknesses, many of tion in Chile1, where in the years tive theory in Western countries at which could not have been avoid- 1973-1989 a similar transition from that time. This popularity should ed. However, looking at the trans- a centrally planned economy to a be associated with the successful formation from the perspective of market economy was implement- applications of this theory in Great a quarter of a century can also be ed. It is worth noting that the ac- Britain (1979 - 1990), and the USA interesting and instructive, as it complishment of the transforma- (1981 - 1989).2 allows for a more complete evalu- tion in Chile coincided with the The positive British and Ameri- ation and makes it possible to refer start of the transition in Poland. can experiences, as well as the to its achievements and its main Both countries used the liberal experience of transformation in premises with greater distance. paradigm of systemic transforma- Chile, determined the shape of The process of transformation tion. This was due to the enormous the Polish transformation. It was a implemented in Poland, i.e., the popularity of the liberal-conserva- “model of conventional macroeco-

* Stanisław Rudolf – Professor, WSB University in Gdansk 1 The term ‘Washington Consensus’ was coined in 1989 by J. Williamson, Director of the Institute of World Economy. Initially, the Consensus was addressed to countries in Latin America, but later its recommendations extended to other countries implementing transformation processes, including the post-communist countries. These recommendations then became the basis for the recommendations of the International Monetary Fund and the World Bank. The recommended goals of transformation included: construction of a free market, economic discipline, and openness to globalization (J. Williamson, In Search of a Manual for Technopolis, [in:] J. Williamson (ed.), The Political Economy of Policy Reform, Institute for International Economics, Washington DC, 1994). 2 M. Handschke, Transformacja ustrojowa w Chile i w Polsce – elementy analizy porównawczej, [in:] W. Jarmołowicz (ed.), Liberalizm ekonomiczny w dobie transformacji, integracji i globalizacji, “Zeszyty Naukowe” No. 230, Wydawnictwo Uniwersytetu Ekonomicz- nego w Poznaniu, Poznań 2012.

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nomic policy based on the assump- in nature, with only their accents this analysis of selected countries. tion that the broad launching of differently distributed over time. The institutions decide not market mechanisms and the open- In both cases the institutions have only on the way the fundamental ing of the economy would provide been fundamentally changed, in- change is implemented, but are incentives for the creation of effec- cluding those of both a formal and also considered as one of the most tively operating institutions.”3 This informal nature. important drivers of economic assumption proved to be true in Political change does not, how- growth and of the effectiveness of general, but the implementation of ever, settle the issue of the dura- the transformation process. This this model was not free from errors. bility of changes. Only qualitative is in line with the assertion that The errors involved, inter alia, the changes in the economic system “markets do not function effective- appearance of externalities in the can consolidate the change in the ly under conditions of an underde- form of corruption and other types matrix. Even if a political change veloped institutional structure.”5 In of deviation. For example, the Pol- takes place very quickly and is of this regard we may refer to the work ish Government focused attention a one-time nature, the changes in of D.C. North, who asked the two- on economic growth and neglected the economic system and in the pronged question: Why do coun- spending on the so-called ‘social in- society are spread out over many tries with comparable conditions frastructure’ (education, research, years. Due to the different eco- develop at different rates, and why health care, etc.). nomic, political, and social con- do some countries manage to uti- Examination of the Polish trans- ditions these changes take place lize their existing potential much formation, with a focus on institu- in different ways, and their pace, better than others? The reasons for tional changes.4 scope, and depth differ. In practice, this diversity are sought in the dif- each country has unique, charac- ferent institutional matrices creat- The mechanism of systemic teristic conditions, which strongly ed by these countries.6 Such matri- change and its effects affect the varied results of such ces, i.e., systems of interconnected It is difficult to overestimate the changes, as measured by, e.g., eco- institutions, can in some countries role of institutional change in the nomic growth or the level of per stimulate development through implementation of transforma- capita income. This is confirmed in embedded incentives, while in oth- tion processes, because the economic system can be defined as a Table 1. Macroeconomic conditions in selected countries in 1989 system of interconnected institu- Type of indicator Czech Poland Hungary Slovakia Lithuania Ukraine tions. According to this view of the (%) Republic economic system, it may rightly be said that “systemic transfor- GDP growth 0.2 0.7 4.5 1.0 - 5.0 - 4.0 mation is a fundamental insti- Industrial production - 0.5 - 2.1 1.7 - 0.7 N/A - 0.1 tutional change”. Viewed in this growth light, in analysis of the processes Inflation rate 251.1 17.0 1.4 2.3 8.4 4.2 Budget deficit of transformation it is virtually - 3.0 - 1.2 - 1.2 - 0.6 N/A N/A (% of GDP) of no significance whether it was Foreign debt 49.3 65.8 11.4 10.3 N/A N/A the so-called “shock therapy” was (% of GDP) GDP per capita employed, or whether the changes 8,038.0 12.390.0 16,211.0 12,536.0 12,537.0 8,063.0 were spread over a longer period (US$) Share of the private 30.0 5.0 5.0 5.0 10.0 10.0 of time, even if the latter did not sector in GDP have such a revolutionary character. In both these cases the imple- Source: Based on T. Kowalski, Polska transformacja gospodarcza na tle wybranych krajów mented changes were fundamental Europy Środkowej, “Ruch Prawniczy, Ekonomiczny i Socjologiczny”, 2009, issue 2, p. 295

3 Cf. B. Klimczak, Paradoks instytucjonalny transformacji systemowej w Polsce, [in:] B. Klimczak (ed.), Ekonomia. Mikroekonomia i ekonomia instytucjonalna, Wydawnictwo Uniwersytetu Ekonomicznego we Wrocławiu, Wrocław 2009, pp. -203. 4 J. Wilkin, Co wniosła transformacja postsocjalistyczna do teorii ekonomii, [in:] J. Kleer, A. Kondratowicz, Wkład transformacji do teorii ekonomii, Wydawnictwo CeDeWu, Warszawa 2006, p. 118. 5 T. Kowarski, C. Wihlborg, V. Vensel, Rozwój środowiska instytucjonalnego w nowych krajach Unii Europejskiej. Przypadek Estonii i Polski, “Ruch Prawniczy, Ekonomiczny i Socjologiczny”, 2007, Vol. 1, p. 253. 6 D.C. North, Institutions, “Journal of Economic Perspectives”, 1991, Vol. 5, No. 1.

22 I Bulletin PTE No. 1 (72) 2016 Polish Economic Society

Selected papers from the Ninth Congress of Polish Economists have been published in the “Ekonomista” bimonthly No. 2/2016. More at: http://www.ekonomista.info.pl/ Abstracts of „Ekonomista” are reproduced in the International Bibliography of the Social Sciences and appear in Scopus Base. (IBSS): http://www.ibss.ac.uk and „The Central European Journal of Social Sciences and Humanities”: http://cejsh.icm.edu.pl

er countries such incentives may be while in the Czech Republic it was this indicator was definitely the much weaker and result in a weaker 100% higher. highest in Poland, compared to growth rate. It is not easy to change Hence the selected countries the other selected countries. The such a matrix into a pro-growth started from distinctly different worst situation is clearly visible in matrix; it is largely dependent on a levels of economic development Ukraine, where GDP per capita country’s historical background. and the general situation of Poland remained virtually unchanged. Table 1 summarizes the macro- was extremely unfavourable. Today, At the threshold of the transfor- economic indicators in Poland on after nearly a quarter century of mation process, this indicator for the eve of the transition, viewed transformation, the situation has Ukraine was similar to that of Po- against the background of the se- changed dramatically. The most land, while now it has dropped to lected countries of Hungary, the beneficial qualitative changes in the level of about 35% of Poland’s. Czech Republic, Slovakia, Lithu- the economic system took place GDP per capita also changed rela- ania, and Ukraine. The Polish situ- in Poland, and the GDP per capita tively little in Hungary, as a result ation, especially in comparison can be used as an objective meas- of which Poland is now ahead of with the Czech Republic, Hungary, ure of these changes. The available Hungary and has definitely come and Slovakia, was at that time very data for 2014 are summarized in closer to the Czech Republic and unfavourable. It was character- Table 2 below. Slovakia. The gap between Poland ized by a nearly zero rate of eco- As can be seen, a quarter century and these countries decreased nomic growth (0.2%), a decrease after the beginnings of the trans- from 100% to 25% (the Czech Re- in industrial production (-0.5%), a formation the GDP per capita public) and from 50% to 10% (Slo- very high level of inflation (251%), in individual countries has sub- vakia). It is worth noting that in high foreign debt (close to 50% of stantially altered. The growth in terms of this indicator Poland has GDP), and a large budget deficit (- 3.0%). The level of GDP per capita Table 2. GDP per capita in Poland and selected countries in 2014 deserves particular attention, being Type of indicator Czech Slova- Poland Hungary Lithuania Ukraine much lower in Poland and Ukraine (%) Republic kia (about US$ 8,000) than in the GDP per capita other countries. In comparison, 25,200 25,000 30,100 28,300 27,300 8,700 (US$) this level in Hungary, Slovakia, and Lithuania was about 50% higher, Source: International Monetary Fund 2015.

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also come closer to some of the old amendments it was possible to re- drop in the bucket compared to the EU countries. In 2014, GDP per store their operation. In addition, needs of the nascent market system. capita in Poland was only about their return was treated as natural Appropriate acts were anxiously 7% lower than in Portugal, and al- and therefore did not arouse much awaited by enterprises, and fortu- most the same as in Greece. emotion or protests. They were in nately the above-described unique Factors determining the effec- fact treated as one of the important political situation was conducive to tiveness of transformation elements in Poland’s ‘return to Eu- a high “production” of legal acts. rope’. Such institutions have now In the early years of transformation In light of Poland’s excellent been in operation for many years, the Polish Parliament passed nearly achievements, especially compara- before being replaced in some cases 100 acts per year. An even greater tively speaking, it is worthwhile to by more modern institutions, better number of regulations and agree- examine the factors which were most adapted to the existing conditions.7 ments important for the economy decisive for the effectiveness of Po- Nonetheless the vast majority of were implemented8, and they prob- land’s transformation. In my opinion formal institutions created in Po- ably were decisive for Poland’s fur- these include, among others: land followed Western solutions ther dynamic development. u Favourable institutional chang- which were alien to Poland and As has been noted, informal in- es, both in terms of formal and in- required the approval of informal stitutions also played a key role in formal institutions; institutions. The radical nature of this process. During the final stages u The relatively high - much the changes (the so-called “shock of communism they were already higher than in the other countries therapy”) created some additional developing in opposition to the under study - share of the private complications with respect to such system, and their development pre- sector in GDP at the beginning of approval. This was particularly visi- determined society’s acceptance the transformation; ble at the beginning of the transfor- of the radical changes, despite the u The existence of an administra- mation process. The then-existing negative phenomena which accom- tive cadre, already prepared by the political and social situation in Po- panied them in the initial period of opposition, to take power after the land was conducive to carrying out the transformation (hyperinflation, fundamental political change. reforms, and the Polish society was high unemployment, etc.) This The first factor is of undoubted characterized by a relatively high was confirmed by J. Zweinerft and great importance. It can be general- degree of self-organization, which N. Goldsmidt, who assert that such ly concluded that the institutional was a consequence of the emer- acceptance should be associated arrangement in Poland prejudged gence and development of Soli- with the favourable attitude of in- its dynamic development during darity in the years 1980-1981. As a formal institutions.9 the transition. This applies to both result, the group which took over formal and informal institutions. power inherited, in this respect, The former were in some part a comfortable conditions. continuation of the institutions of This fact was especially important a market economy developed in in terms of legislative activity. The the interwar period in Poland and formal institutions restored from which remained in place, albeit the interwar period were just a dormant. By making the necessary

7 The Commercial Code enacted in 1934, may serve as an example. It has never been formally cancelled, but because of the existing ownership structure had ceased to be practically used in Poland, except in a few instances, for example when companies with foreign capital were established in seaports at which Polish ships often called. After 1989, the Code was subjected to a few amendments and remained in force until 2000, when Parliament passed a new “Commercial Code”. 10 See T. Kowalski, Postrzeganie otoczenia instytucjonalnego w Polsce w latach 1997 – 2009, “Ruch Prawniczy, Ekonomiczny i Socjologiczny”, 2011, op. cit., p. 151. 8 Cf. T. Kowalski, Postrzeganie otoczenia instytucjonalnego w Polsce w latach 1997 – 2009, “Ruch Prawniczy, Ekonomiczny i Socjologiczny”, 2011, Vol. 1, p.161.

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The favourable arrangement of small private businesses were also opposition institutions. These were informal institutions also played comparatively quite well developed mostly illegal institutions, gather- an important role in preparing Po- in Poland. ing together a rebellious citizenry land’s membership in the Euro- In the final period of communism interested in changing the existing pean Union. This particularly con- some countries made attempts to political system, at the same time cerns the adaptation of the Polish reform their economies through representing a high intellectual po- legal system to the hundreds of EU the gradual introduction of market- tential. These institutions shaped legal acts, a task which the Polish based solutions. In Poland this pro- the cadres for the new system, parliament satisfactorily fulfilled. cess had already begun in the 1970s which thus consisted of persons In the years 2001-2004 the Parlia- when Government permitted the properly prepared to take power fol- ment passed more than 200 such establishment of so-called “Polo- lowing the political changes. They acts a year, generally referred to as nia” companies. These companies later made significant and proper implementation of the acquis com- continued to develop through the use of their skills for the develop- munautaire.10 This was undoubt- second half of the 1980s, and in ment of the country. In none of the edly a huge success for the Polish 1988 there were about 700 such other countries in question was the legal system and resulted in the firms, with over 80,000 employ- opposition as strong or well-organ- improved quality of the regulatory, ees. It may be noted that similar ized as in Poland, nor did the trans- legal, and business environments. attempts were undertaken also in fer of power take place so smoothly The second of the above-listed Hungary, even much earlier than in any of the other countries under factors pre-determining Poland’s in Poland (i.e. as early as in the late comparison. success involves the relatively 1960s), but progress in this respect The importance of having ready wide range of the market economy in Hungary was very slow, and did cadres shaped by the opposition which was in place on the threshold not occur in the other countries proved invaluable in the initial tran- of the Polish transformation. This under study. sition period, i.e., during the crea- is reflected by the initial relatively The market experience of Poles tion of new formal institutions, the high share of the private sector in was much more extensive and creation of which later determined the creation of the Gross Domestic also involved the so-called “Tour- the course of the transformation Product as compared to the other ism economy”. A large part of the process. The widespread social sup- countries under study. As shown in population visited West Berlin or port for these institutions, as well Table 1, in 1989 the private sector Turkey for commercial purposes, as for the reforms implemented by in Poland produced about 30% of some of them on a regular basis. them, to a large extent should be as- GDP, while in Hungary, the Czech All this meant that at the onset of sociated with the existence of such Republic, and Slovakia, this sec- the transformation process, a sig- a well-prepared cadre. The names of tor’s share accounted for only nificant number of Polish citizens the new leaders also played a deci- about 5%. Undoubtedly the wider already had some experience with sive role, as they were already widely scope and share of the private sec- elements of a market economy. known for their opposition activi- tor in Poland in comparison with These experiences proved to be ties and enjoyed public confidence, the other analysed countries was extremely useful, especially during which laid the groundwork for the mainly connected with the fact the initial transition period. The popular acceptance of the radical that agriculture had been left in economic activity initiated during reforms, even though they resulted private hands in Poland. The at- this period in many cases marked in a significant deterioration in the tempts to create communist-style the onset of the formation of a sub- standard of living for some time. production cooperatives in Poland stantial domestic capital. There are many indications that had failed, while such coopera- The third of the factors listed this third factor was decisive for the tives had been established in other above involves the establishment course of the transformation pro- communist countries. In addition, within the communist system of cess. The reason the Polish opposi-

9 J. Zweinerft, N. Goldsmidt, The Two Transitions in Central and Eastern Europe as Process of Institutional Transplantation, “Journal of Economic Issues”, 2006, no 40.

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tion was so well-developed in com- in Lithuania and Ukraine in 1991. of changes, although such a char- parison with the other countries These countries thus had a kind of acter does result from D.C. North’s under study was because the range bonus resulting from the possibility theory of transformation. Reforms of democratic freedoms in Poland of following the early Polish experi- can also be imposed by the authori- was much wider than in Hungary or ences and avoiding mistakes. ties. To some extent this situation Czechoslovakia, and it is difficult Summary took place in Poland, although it is to even talk about such freedoms in The success of the twenty-five rarely recognized. The reforms pre- Lithuania or Ukraine, which were years of post-communist transfor- pared by L. Balcerowicz, the then- part of the Soviet Union. It is also mation has confirmed in its entire- Minister of Finance, were easily worth noting that the Polish under- ty the essential role of institutions, adopted by the Parliament in the absence of opposition during this ground organizations maintained both in terms of bringing about period. Their legitimacy or, more close cooperation with similar or- fundamental political changes as well as in the process of implemen- broadly the legitimacy of the so- ganizations in Hungary and Czech- called “shock therapy”, is still the oslovakia11, assisting them with or- tation of transformation processes. This applies to both informal and subject of lively discussion. It has ganization and instruction etc. The both its supporters and opponents. preparation of these cadres in these formal institutions. The literature points out the importance of both Seen from today’s perspective I am countries proved to be a decisive complementarity and the coher- inclined to recognize this kind of factor in their taking over power as ence of institutions for the smooth therapy as justified. well, more so than the other factors implementation of these processes. The literature also highlights in their case. The varied pace of transitional another aspect of the post-com- In assessing the effectiveness of changes in the former communist munist transformation. According the Polish transformation in com- countries is explained by devia- to J. Wilkin it was “an excellent parison with the other countries tions in the “institutional balance”, laboratory for the study of spon- under study, special attention taneity and creationism in shap- which pertains to both formal and 12 should be paid to yet another fac- informal institutions. Such devia- ing economic institutions.” Such tor. Initially the other countries had tions, which concern, e.g., Ukraine, studies however have been carried a somewhat easier task, since they Bulgaria, and Romania, explain the out mainly by Western authors, be- began their transformations with low efficiency of transformation in cause they could obtain more funds some delay. The transformation in these countries. for that purpose. It is worth em- Poland began in 1989, in Hungary This balance does not always phasizing that the ‘transformation and Czechoslovakia in 1990, and equate to the democratic nature wave’ which commenced in 1989 was the first such large transformation process to be implemented in parallel in such a number of countries. The studies conducted make it possible to compare these processes and to analyse, inter alia, the effects of different conditions on the transformation processes in these countries. It can generally be concluded that the transformation processes have, due to their complex character and the difficulty associated with- ex plaining them on the grounds of neo-classical economics, helped to accelerate the development of new institutional economics.

11 The division into the Czech Republic and Slovakia took place in 1993. 12 J. Wilkin, Co wniosła transformacja..., op. cit., p. 118.

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 Elżbieta Mączyńska* Poland’s Socio-Economic Potential and Barriers to Its Use

Published in the report entitled “Reforma kulturowa 2020, 2030, 2040” [Cultural Reform: 2020, 2030, 2040], issued by the Polish Chamber of Commerce, 2015.

Poland advantageous economic results stand out against the background of the European Union. De- spite the global crisis, the growth rate of Poland’s GDP remains relatively high (especially in comparison with the countries of the euro zone). This can be considered as a sign of our strong development potential, which has also been confirmed by the progress made during the twenty-five-plus years of the transformation period (see S. Rudolf, The Transformation Process…). l he future possibilities for Strong income polarization and ing increasing amounts of money TPoland’s sustainable socio- increasing wealth stratification. at their disposal. economic development will be These phenomena, if not dealt All these factors could create con- determined by the methods and with properly, could create insur- ditions not only for the middle ineffectiveness by which Poland uses mountable barriers to further de- come trap, but also create the risk its own sources of developmental velopment, including a demand of permanent stagnation, already potential. Macro-economic barri- barrier which would create, among visible in the richer countries, e.g., ers to optimal use of this potential other things, barriers to employ- in the USA, (see E. Mączyńska, involve, inter alia: ment and wage growth. Low wages Stagnacja na wieki [Stagnation for- l The deteriorating demographic in turn constitute a disincentive ever]). Such risk emerges in these situation (low fertility rates and for innovation. countries in conditions of zero or the decreasing number of people These factors, coupled together negative real interest rates and the of working age, together with the by negative synergy, could create tendency to maintain liquid cash growing number of elderly peo- an anti-innovation ecosphere and resources instead of investing. This ple); to a large extent form a vicious cir- reduces the chances for an invest- l Phenomena related to the syn- cle. This could be further aggravat- ment revival and an invigorating drome of premature de-industri- ed by the increasing deflationary rise in interest rates, which thereby alization; processes, the decline in interest increases the gap between the ac- l Permanently high unemploy- rates, and the liquidity trap syn- tual and potential GDP. ment; drome, which among other things These threats also apply to Po- l The relatively low level of wages results in a low propensity of com- land. “Although we delude our- and related social exclusion; panies to invest, even despite hav- selves that the Polish miracle is a

* Elżbieta Mączyńska – Professor, Warsaw School of Economics, President of the PTE

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symptom of Polish specifics, this gal adjustments. It’s like chasing the developmental and pro-inclusive by itself does not change the fact white rabbit. investments in the economy, which that Poland is characterized by an l The overly complex, opaque, require a longer time horizon. anti-innovation culture of a crois- and irrational tax system. The sys- l The increasing anomie and ero- sant” (see J. Żakowski, Polski rogal tem in its current form does not sion of trust, deregulation, lower- [The Polish croissant]). These de- properly perform any of its funda- ing of ethical standards, and chaos velopmental barriers are not only of mental functions - neither fiscal, and contradictions in the system an economic nature, but also of a redistributional, nor pro-develop- of values result in a build-up of social, cultural and political nature ment. It is expensive and encourag- uncertainty and make it difficult [(see section Co nam przeszkadza es the circumvention of regulations to assess what is good and what is [What is impeding us)]. Moreover, and the manipulating and evasion bad in people’s actions, in political among the various barriers there of taxes, including the tax carousel decisions, and in the functioning of also is a negative synergy of feed- and VAT tax theft. The tax burden the economy, and in addition makes backs, leading to an antinomian falls most heavily on the poorer seg- it difficult to determine which ways drift (“Simultaneous progress to- ments of society. and least affects of attaining goals are acceptable and gether with anachronism; being the richest. which are not; and what is value, in the front and dragging behind” l The weaknesses of Poland’s and what is anti-value. Because of – see P. Czapliński, Antynomiczny labour laws foster manifestations all this, despite its transformation dryf [Antinomian drift]). of the nineteenth-century model successes Poland still ranks in the Although it is usually more or less of capitalism, and even ‘farmhand “lower-end” of the ranking on in- clear what actions could be taken jobs’ in labour relations. This creates novation, which is a key prerequisite to remove blockades, often there not only purely economic problems, for further bridging the gap between is no political will and/or political but also social tensions, reducing the developed countries after 2020 mechanisms to take such actions. the quality of politics and fostering and reducing the risk of the middle This antinomian drift acts, as de- bad relationships in the workplace. income trap. scribed by Tobin, like “throwing l The growing public debt and The need to change the paradigm sand in the wheels”. lack of sustainability of public fi- and socio-economic priorities Almost every factor of Poland’s nances make it difficult to fight un- Persistent unemployment, social development potential has an employment and increases the risk exclusion, and an imitative model of equivalent agent blocking develop- of deterioration of the demographic ment (i.e. there is always a down situation, with resulting increases in side). Antinomian drift causes a spending on pensions and on health significant part of the develop- care. ment potential to be blocked or l The dysfunction of the politi- wasted to fight problems that we cal system increases the ‘election ourselves create. cycle syndrome’ and the related precedence of electoral objectives These problems are primarily: over long-term objectives, which is l An inefficient system of - law harmful to the economy, especially making and enforcement of law; to its macroeconomic and socio- the weakness of the judiciary and economic efficiency. This reinforces the excessive duration of judicial the phenomena associated with the proceedings, including in economic old saying, known to democratic matters; dysfunctions of democracy; systems, that “efficiency has no vot- and ‘legal inflation’. The latter term ers.” The syndrome of a short elec- refers to the variability and com- toral cycle, and the resulting domi- plexity of legal regulations, which nance of a short-term perspective, is “soften them”. Laws are often ex- accompanied by a marginalization cessively detailed, such that almost of the culture of strategic think- every change in the economic real- ing. This is not conducive to pro- ity creates the need for detailed le-

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development and other manifesta- civilizational and cultural reasons. of a Distant Neighbour]), and in- tions of the wastage of development But neither are any of them given hibits innovation. According to potential represent a long-term threat forever. the same sources, out of the four to Poland’s harmonious, sustainable, The pro-inclusive model of countries with the lowest level of socio-economic development. This development is supported by a innovativeness in the EU (Bulgar- highlights the need to seek a new number of factors, including the ia, Latvia, Romania, and Poland), model and new foundations for eco- experiences of other countries. two - Romania and Bulgaria - are nomic decision-making, including in International comparisons show at the bottom of the ranking of in- the sphere of innovation and related that countries with a greater inclu- clusiveness (alongside Greece and investments. siveness of their socio-economic Hungary), and the two others rank This model should be a pro-inclu- system, i.e. countries in which the only slightly higher. sive one, in which social cohesion sustainability of socio-economic The need for inclusiveness and would be the main driving force of policy (e.g., towards the labour its corollary – reducing the grow- development and a public priority, market) is of high rank impor- ing inequality in income – has been and the chrematistic effect (enrich- tance, have a greater resilience to confirmed by numerous studies, inment) is just an effect, not the goal. threats and developmental crises. cluding those published recently by Such a model is consistent with the This is because, inter alia, by mak- experts from the IMF (Ostry, Berg, requirements of the civilization of ing better use of human capital Tsangarides, 2014). The impor- knowledge society, releases human their development is to a greater tance of inclusiveness and its posi- capital, strengthens social capital, extent based on integrating com- tive impact on economic efficiency promotes the optimal use of devel- petences, which increases the level was also confirmed in studies con- opmental potential, and stimulates of innovation. According to the ducted by Florence Jaumotte and innovative, efficient, sustainable ranking of innovation in the Eu- Carolina Osorio Buitron, which paths of long-term development. ropean Union developed by the also show the positive impact of Dutch UNU-MERIT institute, unionization on the rationality of The need to change the paradigm four countries rank at the top of functioning of enterprises and the has, with respect to Poland, a three- list: Sweden, Denmark, Germany, increase in inclusiveness (POWER fold dimension: and Finland. Three of those coun- from the PEOPLE, 2015). Earlier, l Firstly, it results from the need to tries - Sweden, Finland, and Den- Joseph Stiglitz also pointed out catch up in terms of the share of re- mark – also occupy high places that inequality is one of the factors search results (R & D) implemented on the Bertelsmann Foundation’s which wastes development poten- in the economy; European ranking of social jus- tial and contributes to the gradual l Secondly, it is connected with tice, which takes into account the dependence of states on capital the necessity to intensify the rational prevention of poverty, equal ac- (Stiglitz, 2013). The importance of implementation of knowledge re- cess to education, employment inclusiveness was even appreciated sources available on a global scale; and health care, social cohesion, by Milton Friedman, considered to l Thirdly, it involves the need to and intergenerational equality. In be the “pope of neo-liberalism”, free the economic decision-making contrast, neglect of pro-inclusive who suggested a negative income process from the omnipotence of policy (as it is widely understood), tax for the lowest-income people short-termism, i.e. the priority of motivated by short-term chrema- as an important factor of economic short-term goals. tistic objectives (ad-hoc profits or stability and maintaining demand. The asymmetries, disequilibria, savings), results in the negative These and other studies also show and the antinomian drift charac- phenomena of “social sub-tenan- that employee participation in cor- teristic of Poland are weakening Po- cy” and exclusion. This weakens porate management fosters the ra- land’s development potential. The social capital, leads to a marked tionalization of management deci- reasons for this are complex. They reduction in economic growth sions and strengthens the position are not only of an economic and opportunities (see J. Czapiński, of companies on the market. political nature, but also of a cul- Ekonomiczne znaczenie miłości Research and rankings, together tural and civilizational one. Not all dalszego bliźniego [The Economic with comparative analyses, indi- of them can be quickly eliminated, Importance of Continued Love cate that a paradigm which exces- and this applies especially to the

Bulletin PTE No. 1 (72) 2016 I 29 Polish Economic Society

sively impedes inclusion in favour relationship. They define long-term social cohesion, requires the multi- of competition and which overes- strategic goals – socio-economic ob- dimensional involvement of all par- timates the importance of rivalry jectives beyond the electoral cycle ticipants in social and economic life based on efficiency at the expense aimed at creating a system of values in order to achieve optimal creation of safety, leads, as a result of citi- corresponding with provisions of the and exploitation of development po- zen’s insecurity, to the formation of constitution. Czapliński’s observa- tential. The inverse of inclusiveness a civilization of conflicts and quar- tion that “once holistic concepts - is social exclusion, mainly manifested rels, a culture of permanent aggres- of the welfare state, emancipation by unemployment and poverty. sion, a cheating society, exclusion of the individual, liberalism, and a Social inclusion is a value in itself. and self-exclusion, passivity, hostile free market – have become uncer- In this study, however, it is treated confrontations, and destructive emoniously cut and crushed” can be primarily as a driver of innovation, criticism of others, all of which re- regarded as the literary quintessence competitiveness, and economic ef- sult in increasing insecurity, creat- of the drift in this area. This increas- ficiency. Under the present -condi ing a vicious circle. These phenom- es the risk of social anomie and the tions a model of social inclusiveness ena undermine the ability to work erosion of trust. is also a model that brings about together, which is a prerequisite The emerging socio-economic an increase in innovation. It is es- for growth based on innovation, dysfunctions in Poland (including sential to put Poland on the tracks understood as the implementation increasing manifestations of social of the “civilization of knowledge”, of positive changes (see E. Bendyk, exclusion) and the apparent direc- which is a prerequisite for further Złożony świat innowacji [The tion of the post-crisis civilization sustainable development. An inclu- Complex World of Innovation]). shift indicate that today the Polish sive system both releases and drives Excessive market confrontations, developmental priority should be creativity and entrepreneurship by resulting from destructive competi- focused on social inclusiveness as strengthening positive relationships tion, lead to many undesirable phe- broadly understood, meaning the based on the sense of security, trust, nomena, threats, and “risky behav- involvement of all participants in and a community of interests. An iour” (e.g., addictions), which bring Poland’s social and economic life in inclusive economy is a system based about high social costs and make order to make optimal use of its de- on the greatest possible number of “the boundary between rivalry and velopmental potential and prevent sovereign and equal participants, its wastage. destruction almost imperceptible” joined by bonds of partnership and In today’s economy of highly de- (A. Morita – see Hampden-Turner, conscious interdependence rather veloped countries, the barrier of Trompenaars, 2012, p. 122). These than hierarchy and subordination in effective demand makes social in- types of intertwined threats also relations between the state, citizens, clusiveness one of the primary de- exist in Poland. One of their symp- businesses, and social groups. velopmental obstacles. Scarcity of toms is narcissism, giving vent to ex- Under the conditions of today’s demand arises from with the rapid- knowledge civilization, the ability to cessive, ostentatious consumption ly growing (as a result of technologi- undermining the economic stability cal change) growth opportunities in produce, accumulate, process, dis- of many families and being an ex- the production of goods and ser- seminate, and wisely use knowledge pression of the culture of superfici- vices. This leads to overproduction becomes the main engine of growth. ality, which is a kind of consump- and its related extensive negative Every instance of exclusion inhibits tion exhibitionism and uncritical consequences, such as reductions development, because it always lim- complacency with regard to one’s in employment and investments, its the social capability to use knowl- addictive symbolic consumption, devastating competition etc., also edge and other elements of human characterized by rivalry and a de- creating the vicious circle syn- capital. Exclusion is to a large extent sire to achieve status. This is one on drome. A new model of developing the result of weak inclusive mecha- the reasons why “the energy of Pol- socio-economic reality is necessary nisms, both social and economic. ish modernity is being exhausted” to break this circle. The fundamental elements of an (Czapliński) - partly along with the inclusive socio-economic system depletion of its “creditworthiness”. Social inclusiveness as a priority and are: The priorities of the socio-econom- prerequisite of sustainable, harmoni- l Institutions of social inclusion, ic policy are closely connected with ous development aimed at developing and strength- the formation of the state-market Social inclusiveness, which induces

30 I Bulletin PTE No. 1 (72) 2016 Polish Economic Society

Prof. Elżbieta Mączyńska during the 6th Innovative Economy Congress, Warsaw, June 2015 ening civilizational achievements. There is increasing evidence that Unfortunately, the existence of These are understood as the regula- the inclusiveness of a socio-eco- institutional ineffectiveness has tions concerning, inter alia, achieve- nomic system is a prerequisite for been confirmed by the research ments such as universal social se- harmonious development, while conducted in Poland (e.g., Balcer- curity and health care, universal social exclusion (i.e. excessive ine- zak, Pietrzak, 2014). According to access to education, a guaranteed quality) and the non-inclusiveness the research of Acemoglu and Rob- minimum wage, trade union rights, of a socio-economic system inhibit inson, this may spell defeat for us and protection of common goods; its development and create crises. when we will have to develop in re- l Inclusive enterprises, aimed at This is reflected in the results of liance on our own resources. the optimal absorption of knowl- the work of Daron Acemoglu and However, if we acknowledge (de- edge and innovation, and the effec- James A. Robinson (2014 Dlac- spite the vicious circle currently in tive reconciliation of the interests of zego narody przegrywają [Why effect) that there is no such thing employers with those of employees Nations Fail]). Based on their as historical destiny, it may be pos- and the public interest; sible to replace “extractive insti- l multi-sectoral research they come An inclusive market, i.e. a mar- tutions” with inclusive and pro- ket characterized by optimal, social- to the conclusion that the success of a country is not determined by inclusive ones. What is needed, ly accepted rules of entry and exit, however, is a broad coalition of all understood as the guarantor of the climate, geography or economic policies. According to these au- persons concerned to come out contract culture, fostering symmetry in support of this change of direc- in the rights of contractors as busi- thors the reason some societies tion, i.e., the transformation of the ness partners and including the pro- fail is: “extractive institutions”. State, enterprises, society, and the tection of consumer rights; Extractive institutions discourage market, because together they con- l Inclusive State, law and local people from saving, investing, or stitute a system of interrelated and government institutions as guaran- innovating, thus wasting the ef- tors of justice and respect for the fects of their work. Extractive po- interdependent institutions. rule of law, supporting creativity, litical institutions support extrac- The report “Reforma kulturowa” innovativeness, and the develop- tive economic institutions. They [Cultural Reform] sets out recom- ment of pro-inclusive institutions, concentrate power in the hands mended actions for achieving social and also operating as a system which of a few people, who exploit the inclusion. We encourage you to read prevents the creation of exploitative achievements of others. Are such it. The full text of the report is availa- institutions and inequalities in ac- symptoms, which could threaten ble here:http://www.answerthefuture. cess to the law. our future, present in Poland? pl/raport.html

Bulletin PTE No. 1 (72) 2016 I 31 Polish Economic Society

 Zbigniew Matkowski* Poland’s Economy: Current Situation and a Look Ahead The Polish economy performs quite well, but this does not translate adequately into social well-being.

ooking at macroeconomic in- (4) general government balance, Ldicators, the Polish economy (5) current account balance (the performs quite well, particularly if last two as percent of GDP). In my compared with the fragile recovery assessments of the condition of our in Western Europe. With the GDP economy, I often use that device growth of 3.3% in 2014 and 3.6% in because it facilitates a quick orien- 2015, Poland belongs to the most dy- tation in the state of a given econ- namic economies in the EU. In the omy just at a first glance, though it last year, unemployment in Poland should be applied carefully. For lack (7.5% according to labor market sur- of space, we cannot present here veys and 10.5% officially registered) such graphs illustrating the condi- stood below the EU average; it was tion of our economy in the last year much lower than in such countries as compared with some other econ- as Bulgaria, Croatia and Slovakia, omies. But I can assure the readers that the pentagon showing the cur- not to say about Greece, Spain or In 2015, the GDP growth was rent macroeconomic performance Portugal. Inflation in the EU has mainly fuelled by a substantial rise of Poland’s economy looks pretty been suppressed to almost null, and in the domestic demand. Total nice and compares quite well with several countries (including Poland) consumption (private and public) some other EU countries, such as are now faced with some deflation. increased by more than 3%, and the Czech Republic, Slovakia and The deficit in the Polish state budg- investment outlays rose by 6%. Hungary, or Germany, Sweden and et is kept below 3% of GDP, and Po- Another growth stimulus was pro- France.1 However, a special problem land’s current account balance was vided by exports, which rose more of the Polish economy is that the almost cleared last year, for the first than imports (7% vs. 4%). For fur- good performance of the economy time since 1995. ther output growth, it is essential does not translate adequately into For a comparative evaluation of that the positive demand trends social well-being, and the benefits current economic situation, a use- be sustained and reinforced. Criti- of economic growth are not enough ful analytical tool is the so-called cally important is a continuous rise felt by the average citizen. pentagon of macroeconomic per- in the three autonomous demand formance – a graph showing five ba- Further output growth de- streams: government expenditure, sic indicators: (1) GDP growth, (2) pends on the increase in au- private investments, and exports, unemployment rate, (3) inflation, tonomous demand. which determine the dynamics

* Dr. Zbigniew Matkowski – retired senior lecturer at Warsaw School of Economics, now managing editor of the bimonthly “Ekonomista”. 1 The reader interested in the details of such a comparison and in the method employed may be referred to the author’s analysis included in: Poland: The Competitiveness Report 2016, World Economy Research Institute, Warsaw School of Economics, 2016, chapter 1.

32 I Bulletin PTE No. 1 (72) 2016 Polish Economic Society

of total demand and aggregate ment in the economy increased increase nominally by 9.5%. New output. Private consumption, the by less than 1% in 2015, and the expenditure programs include i.a. largest demand component and average employment in the enter- the child subsidy program “Fam- the ultimate production aim, is prise sector rose by 1.3%. The un- ily 500+” while new tax arrange- most important in maintaining employment rate recorded in labor ments foresee the introduction of output growth, but its volume will market surveys declined to ca. 7% a turnover tax on retail trade and adjust to the actual rise in output towards the end of the last year, a new tax imposed on bank assets. and income. and the registered unemployment The critics raise doubts about gov- Looking at the supply side, indus- fell below 10%, but the overall situ- ernment’s ability to finance all the trial production was running at a ation in the labor market did not planned expenditures (partially re- good rate of almost 5% during the improve much. Some economists lated to election promises) within last year, but construction raised argue that official unemployment the current budget. Even if the its production volume by less than data tend to conceal the real scale government succeeds in keeping 1%, and agricultural production of unemployment problem since this year’s budget deficit under was much lower than in the previ- many jobless people leave the control, within the Maastricht lim- ous year due to poor harvest and country each year, seeking better it of 3% of GDP, it is very probable some disturbance in food exports job opportunities abroad. that this limit will be surpassed in (notably to the Russian market). When assessing the rise in living the next year, due to the intended Industry, construction and agricul- standards, an important factor is rise in the tax-free income, free ture represent a relatively small part the increase in wages and other in- medicines promised for seniors of total output in a modern econo- come sources. According to official etc., not to say about the intended my, dominated by the broadly con- data, the average real gross wage in return to the previous pension-age ceived service sector. In Poland, the Poland increased by more than 4% schedule, declared by the new gov- three mentioned sectors represent in 2015, and the average real gross ernment. It is also not certain what about 1/3 of the total value added pension increased by almost 3.5%, will be the effects of the planned while almost 2/3 of it is created in but both these indicators depend tightening of tax collection. trade, finance, and services. Never- on the reliability of data on nomi- The European Commission, in theless, these three sectors of ma- nal incomes and on the accuracy of its newest economic forecast, sug- terial production are true pillars of the living cost index. It would be gests that public finance deficit in any economy, which determine its interesting to check whether these Poland can rise to 3.1% of GDP in real strength. In Poland, those sec- statistical data are confirmed by 2017, which would launch a trou- tors have still a significant impact the results obtained in household blesome sanative procedure su- on the current dynamics of GDP. budget surveys, but survey data are pervised by Brussels. Fortunately With a substantial rise in con- published with some delay. Any- enough, Poland’s public debt, in sumer spending in 2015, the vol- way, wage levels in Poland are gen- spite of big noise made by the op- ume of retail sales increased by erally much lower compared with position, is relatively moderate almost 3.5%. The stock of com- Western European standards. The (51% of GDP), considerably lower modities and total volume of stocks same applies to old-age pensions than the EU average. in the economy decreased, mean- and other transfer payments. … and financial market weak- ing a fall in inventory investments. Public finance is strained, ened. With a considerable rise in residen- The state budget for 2015 was With pretty good results in the tial construction, the number of closed with a deficit of Zl 50 bil- real sphere of economy, the last year new flats completed increased by lions, which represented slightly and the beginning of the current more than 3%. less than 3% of GDP. The new year were marked by some unfa- Job offers are still scarce and budget enacted for 2016 envis- vorable developments in the Polish wages are low. ages a rise in the deficit of public financial market. The banking sec- Labor market has not improved finance to Zl 55 billion, but the tor kept balance between its assets radically because a distinct rise in deficit-to-GDP ratio is supposed and liabilities, but total profits of employment requires a more vigor- to remain unchanged. Both public banks fell considerably as compared ous output growth. Total employ- expenditures and revenues would with the previous year. The supple-

Bulletin PTE No. 1 (72) 2016 I 33 Polish Economic Society

mentary tax imposed on bank assets was mainly the result of the de- GDP growth of ca. 2% per year in and the prepared act on the conver- mand slack in the local capital mar- the EU28 as a whole. sion of foreign currency mortgage ket, caused by the compression of Growth forecasts for Poland credits (denominated in CHF) may investment activities of the Open for the current and next year dif- weaken dangerously financial con- Pension Funds and a massive out- fer, depending on the source and dition of many banks and other fi- flow of foreign speculative capitals. publication date. The European nancial institutions. Even if it was unrelated to the real Commission, in its recent forecast The consumer price index com- condition of the Polish economy, released in May, 2016, increased its piled by the CSO showed a drop of it will probably have an adverse ef- former estimates of the expected almost 1% during the last year. The fect on the volume of fixed invest- GDP growth in Poland: to 3.7% basic interest rates of the NBP were ments and further output growth. both in this and 3,6 % in the next lowered last time in March, 2015, Fortunately enough, the downward year. The World Bank, in its lat- and since then the reference rate has trend in share prices seems to be est forecast published in January, been kept on the same level despite reversed in early spring of 2016. 2016, has raised its previous GDP deflation. Interest rates on credits On January 15, 2016, Standard & growth estimates for Poland to and deposits in commercial banks Poor’s lowered its credit rating for 3.7% in 2016 and 3.9% in 2017. reveal a downward trend, but it is Poland from A- to BBB+, with a Out of forecasts made domes- not certain how long this tendency negative perspective. The decision tically, the Research Institute on will continue, particularly when it was justified by the fiscal expansion Market Economy predicts that comes again to some inflation. instituted by the new Polish gov- Poland’s GDP will rise 3.6% this In the currency market, the ex- ernment and the related political year, but only 3.1% next year. In change rate of EUR did not change risk. The same agency changed its preparing the budgetary law for significantly in the last year, but assessment of risk perspective for 2016, the government adopted an the exchange rates of CHF and the Polish banking sector from “sta- optimistic assumption that GDP USD jumped by 14% and 19% re- bile” into “negative”. will increase by 3.8% (similar as- spectively. The devaluation of the Three weeks later, on May sumption was made by the former Polish currency stimulated the rise 13, 2016, another rating agency government in preparing the state in exports, but it increased the Moody’s also changed its assess- budget for 2015). The National price of some imported goods and ment of risk perspektive for Poland Bank of Poland, which gave much services and negatively affected the from “neutral” into “negative”. All lower estimates, has also raised its inflow of foreign investments. that may adversely affect the FDI GDP forecasts to 3.8% for both For the financial market as a inflows to Polnd and raise the inter- 2016 and 2017. whole, depreciation of the Polish est cost paid on new public debt. The medium-term growth fore- currency was but one of two or cast until 2020, prepared by IMF, three bad news. Much more im- Short-run growth prospects assumes that global output will ac- portant was a prolonged slump in are good, celerate to about 4% a year by the Meanwhile, in spite of some tur- the local stock market. This was end of this decade, and the euro- reflected by a deep fall in share bulence in the financial market, Poland’s economy develops quite zone and EU as a whole will return prices of most companies noted at to their “usual” growth rates of ca. the Warsaw Stock Exchange and well, as evidenced by the results achieved in 2015 and in the first 1.5% and 2.0% respectively. For Po- the resulting decline in their total months of 2016. land, the IMF predicts a moderate capitalization by almost 14%. The Growth prospects for the Polish GDP growth in the next five years, overall share price index of the economy in this year and in the at a rate of ca. 3.5% per year. WSE (WIG) decreased by almost years ahead will depend not only 10%, and the share price index for on internal factors, but also on … but long-term prospects the largest 20 companies (WIG20) further economic developments in are gloomy due to the demo- fell by 20%. The slump was partly Europe and in the world. The new- graphic barrier. a reflection of the negative trends est forecasts predict some acceler- Unfortunately, long-term growth in global financial markets, linked ation of global output in the next prospects, taking into account the with the fall in oil prices and eco- two years, but outlooks for Europe effects of demographic trends, are nomic slowdown in China, but it are restrained, with the expected extremely unfavorable for Poland

34 I Bulletin PTE No. 1 (72) 2016 Polish Economic Society

as well as for some other CEE ing working-age people and a big long-run development program countries. The long-term growth increase in the share of the elderly. is needed, as a guideline for gov- forecast till 2060 released by the The result would be a rising short- ernment’s socio-economic policy, European Commission suggests age of manpower and slower output dedicated to the maintenance and that Poland and other CEE coun- growth. acceleration of economic growth. tries will experience a gradual de- If these forecasts became true, The program should focus on cor- celeration of economic growth Poland would face quite soon a recting unfavorable demographic due to the emerging demographic declining growth of output and in- trends, creating better institu- barrier. According to the forecast, come. Our growth advantage over tional and financial conditions for under laissez-faire conditions, the Western Europe may disappear enterprise development, stimulat- growth rate of Poland’s GDP may around 2045, with the renewed ing investments and job creation, decrease from 3.6% in 2015 to widening of the existing income developing modern industries, im- 2.6% in 2020, 1.9% in 2030, 1.3% gap. A similar stopping or reversal proving infrastructure, better use in 2040, 0.6% in 2050, and 0.7% in of the income convergence process of labor and material resources, 2060. A similar declining growth may be expected in the remaining and promoting education, know trend for Poland was predicted by CEE countries. No country of this ledge and innovativeness that are and earlier long-term forecast pre- region could close the income gap crucial factors of economic growth pared by the OECD. towards Western Europe within in a highly competitive environ- The slowdown of economic the next 45 years. ment. The ultimate aim should growth would be mainly due to very In order to avoid such a gloomy be to ensure further satisfactory unfavorable demographic changes, future, well-coordinated, multidi- growth of the economy in order including population ageing, low rectional efforts must be under- to improve the quality of life and fertility, and a massive emigration taken possibly soon by the govern- well-being of all citizens. “The of young, well-educated people. Ac- ments of the countries concerned Plan for Responsible Develop- cording to demographic projections, as well as in the framework of com- ment”, recently adopted by the Poland’s population will decrease by mon European policy, aimed at Polish government, might be a more than 5 millions, from the cur- overcoming the emerging threats step in the right direction provid- rent 38.5 millions to 33.2 millions in to future economic growth and to ed that it will be concretized and 2060, with a parallel decrease in the assure a continuous, healthy de- supported by adequate funding share of the population represent- velopment. In Poland, a complex necessary for its implementation.

Bulletin PTE No. 1 (72) 2016 I 35 Polish Economic Society

 Bogdan Ślusarz* The Main Directions of Activity of the PTE Branches The Polish Economic Society is comprised of not only the National Board, but also, and perhaps above all, its 23 Branches located in all major Polish cities.

hey have a rich, long tradition. books, Scientific Papers and contri- TFor example in 2015 the Łódź butions, and Bulletins. Branch celebrated its 75th anniver- Increasingly, members of the PTE sary by organizing a nationwide sci- at the local and regional level are entific conference on this occasion: appearing on television, radio and “The History and Future of the Pol- in the local press, presenting their ish Economic Society.” In recent well-elaborated positions on the years, the Branches have gained in- current socio-economic situation. valuable experiences resulting from All Branches now have their own the decentralization of the Society’s websites, some of them also in organizational structure. The con- English, on which they present in- siderable independence granted to teresting and timely information the Branches has contributed to about their activities. We invite our the development of many local ini- foreign partners to visit these sites tiatives. This has also had a positive and to establish cooperation in or- impact on the further development der to exchange experiences, organ- of cooperation between the Branch- ize scientific conferences, seminars, es as well as cooperation between An important statutory task, im- issue joint publications, and offer the Branches and the PTE National plemented by many Branches, in- any other proposals for cooperation. Board in Warsaw. volves specialized training programs The Polish economists, dispersed all The Branches have been improv- tailored to regional needs. However, over the world, can play an impor- ing their economic situation by ef- over the last few years the increasing tant role in this cooperation. The fectively securing new sources of competition on the training market Economic Knowledge Competition, funding for their statutory activi- has considerably reduced the op- organized by the PTE since 1987, is ties, using for this purpose, inter portunities in this sphere, which has the showcase and flagship project of alia, EU structural funds, grants resulted in a certain deterioration the Branches. The Branches imple- and sponsorship. The Branches of the financial situation of many ment the first and second phases of in Bydgoszcz and Zielona Góra Branches. Also noteworthy are the the Competition. should be singled out for their ex- increasing and various publication Organizing scientific conferences, cellent results in this respect. activities of the Branches, including seminars, and various kinds of de-

* Bogdan Ślusarz – Professor, University of Zielona Góra, Vice President of the PTE

36 I Bulletin PTE No. 1 (72) 2016 Polish Economic Society

 Bogdan Ślusarz* bates by the Branches is not only PTE, which helps companies im- part of their statutory obligation, plement R&D projects and es- but also a way to strengthen cooper- tablish effective cooperation with ation with local government units, universities. As a result of this ac- NGOs, universities, the media, and tivity the Branch can boast of hav- representatives of various profes- ing implemented approximately sional groups. The activities of the 40 technologically highly-advanced three-thousand-plus members of R&D projects for companies. For the PTE throughout Poland con- three years the Branch has been a tribute to the popularization cur- member of a regional consortium rent economic knowledge among which grants businesses so-called the general population. ‘research vouchers’ funded by the Below we present some activities Regional Operational Programme. high unemployment in the region, of selected Branches. The Bydgoszcz Branch is also the Bydgoszcz Branch implements active in organizing training for projects with the aim to help peo- Bydgoszcz Branch ple find a job. To do this we prepare companies, designed to improve the participants of our projects to of the PTE the qualifications and professional enter the labour market through vo- The Bydgoszcz Branch of the Pol- competence of their employees. cational training, paid internships, ish Economic Society implements Many activities are also addressed and classes enhancing interpersonal a number of activities which con- to high school and university stu- skills and the ability to manoeuvre tribute in a practical way to the eco- dents. For a number of years we nomic development of the Kuyavi- in the labour market. have been organizing internships an-Pomeranian region. In recent years the Branch has de- and apprenticeships in enterprises The Branch’s operational frame- veloped international cooperation for students of technical schools. work includes the Support Centre with universities, business environ- for Entrepreneurship, dedicated Every year approximately 100 stu- ment entities and institutions, and to providing low-interest loans for dents take advantage of our offers. associations from abroad. We imple- start-ups and business development. In addition, the Branch conducts ment transnational projects aimed In recent years, 351 companies have classes aimed at developing eco- at the exchange of experiences, mu- benefited from such assistance. By nomic knowledge and entrepre- tual learning, and the development effectively obtaining grants from the neurial skills among high school of new solutions. The Bydgoszcz EU and ESF funds, the Branch spe- and university students. As part of PTE Branch cooperates with insti- cializes in supporting start-ups. In this training we offer instruction on tutions from countries such as Es- the last seven years the PTE in By- how to prepare a professional busi- tonia, Finland, Germany, the Czech dgoszcz has awarded more than 400 ness plan, how to start a business Republic, Italy, and Malta. grants for business start-ups. and run it successfully, etc. In addition to conducting these Since 2012 the Branch structure Due to the difficult situation in extensive activities we take care to also includes a unit called inLAB the labour market and continuing implement our statutory obligations and activities, such as the organization of the regional phase of the Economic Knowledge Competi- tion and the organization of conferences, seminars, and publications. In 2015, we organized for the first time an international scientific conference entitled: “A Transformation of Long Duration: Socio-economic Development. Poland’s Experi- ence.” It was held at the headquarters of the PTE, in the House of the Economist and was widely attended

Bulletin PTE No. 1 (72) 2016 I 37 Polish Economic Society

and enjoyed great success. In the The acquisition of a seat – the 12th edition of the Bachelor’s The- near future we will issue a mono- Economist House, located in the sis Competition). graph containing a summary of the Gdańsk Old Town - marked an im- The Gdańsk Branch of PTE is papers delivered at the conference. portant step in the development of also a training institution and car- the Maritime Branch. Having our ries out projects financed by Euro- Gdańsk Branch of the PTE own premises facilitated the devel- pean Union funding, in areas such The Gdańsk Branch of the Polish opment of training, lecturing and as company management, best Economic Society is an association conference activities. Another im- practices, training, etc. The effects integrating theoretical and practical portant step for the further develop- of these projects, including educa- economists of all generations. Apart ment and increased independence tion and cooperation between both from its general statutory tasks it of the Branch came in 1992, when it theoretical and practicing econo- carries out its specialized mission gained legal personality. mists associated with our Branch, to popularize knowledge about ad- Economic education and broad are reflected in the numerous pub- ministration in maritime conditions cooperation with young econo- lications devoted both to general and in seaside regions. mists – including high-school and economical issues and subjects re- Since the history of our branch academic youth as well as young lated to the functioning of regional dates back to 1946, we are currently academic teachers in the tri-city’s market entities. celebrating our 70th anniversary un- universities - play a special role in der the watchwords: “Close to the our activities. The Club of Young Zielona Góra Branch sea, the people and the economy.” Economists forms an integral part of the PTE The Maritime Division of the Pol- of the Gdańsk Branch of the Pol- 50 years of activity l 190 mem- ish Economic Society was found- ish Economic Society. It brings to- bers l 30 years in its own build- ed on 13 November 1946 on the gether all types of economists at an ing located on the Zielona Góra initiative of a group of economists early stage of their professional and Old Market Square l more than led by Eugeniusz Kwiatkowski, the scientific development, at the same 200,000 trained graduates l 260 outstanding activist of the interwar time aiming to implement coopera- published books Reborn Poland who was credited tion between various professions. with, among other things, being the With this in mind the Club unites Objectives of the Society: co-developer of Gdynia – the future young scientific workers, teachers of n Promoting economic thought first head of the Branch. Prof.- Da economics, representatives of busi- n Improving skills of economists nuta Rucińska is the current leader ness, and PhD students and regular n Taking action to achieve of the Branch. students of economics in order to economic and spatial develop- build and propagate a broad under- ment of the region standing of economic knowledge. n Integrating economists Each year the Gdańsk branch par- ticipates in the Economic Knowl- Most important projects edge Competition (EKC) – not and activities: only by organizing the competition; The Economic Knowledge but also by offering conferences Contest (Olimpiada Wiedzy Eko- and lecture/discussion meetings for nomicznej), organized in the Lu- students and teachers of economic buskie Province since 1987. Each high schools in order to give them year about 500 students from high in-depth insight into the socio- schools in Lubuskie take part in the economic issues that are part of competition. The Zielona Góra PTE the EKC contests. Moreover, each helps prepare them for the Contest year competitions are held for the by arranging conferences, lectures best bachelor’s and master’s thesis and exercises. Two schools from (2016 marked the 19th edition of Zielona Góra are ranked among the the Professor Lucjan Hofman Mas- top five Polish high schools in the ter’s Thesis Competition and the history of the Contest. Each year

38 I Bulletin PTE No. 1 (72) 2016 Polish Economic Society

and mathematics. Each student PTE) A new booklet is currently took 280 hrs. of classes. being published twice a year. The New qualifications today – themes of recent issues included: a new job tomorrow! (Dziś nowe problems of regional development; kwalifikacje – jutro nowa praca!). the economic crisis; marketing Project leader: the PTE Zielona conditions of organizations’ devel- Góra Branch; partner: provincial opment; social inequality; and eco- Labor Office. This training provides nomic development. support for approximately 80 unemployed persons. Completed courses include: salespersons, warehouse the contest winners receive cash workers, cashiers, sales reps, etc. prizes and gifts donated by PTE. Training in business adminis- Science without borders (Nau- tration, labor law, and taxation. ka bez granic). Project leader: the Every year, about 500 people par- PTE Zielona Góra Branch; partners: ticipate in lectures and workshops City of Zielona Góra, University on the above topics. The lecturers of Zielona Góra, The Brandenburg are practitioners, including judges, University of Technology in Cott- auditors, experts in social insurance, bus. Approximately 200 students and others. from five high schools, participated for two years in courses of ICT, for- Scientific papers of the PTE in eign languages, entrepreneurship, Zielona Góra (Zeszyty Naukowe

Participants of the 2016 Economic Knowledge Competition

Bulletin PTE No. 1 (72) 2016 I 39 Polish Economic Society

 Stanisław Owsiak* Economic Knowledge Competition: A Tradition with a Future

The Polish Economic Society (PTE) is an organization which has cherished the tradition of spreading economic knowledge on Polish soil for over 200 years.

A Competition with a Society. The challenge was urgent, because the thirst for knowledge of Tradition the market economy was as strong There have been different peri- as the thirst for goods and services. ods in this long tradition – most In sum, the demand for knowledge recently during the forty-plus years about the rules and mechanisms of a centrally-planned economy governing a market economy was – a time in which the position of massive. economist was an inferior one. The Spreading economic knowledge economy was ruled by engineers; throughout society, but especially and money, credit, percentages, among the younger generation, prices, and other economic catego- anniversary edition of the Compe- became both a great challenge ries were subordinated to planning tition will take place. and an opportunity for the Polish in natura. It was obvious that this The Economic Knowledge Com- Economic Society, because the inefficient economy had no pros- petition is not only the realization understanding and activity of the pects and that it was only a mat- of lofty ideas – to develop second- young generation would decide if ter of time before it would break ary school students’ interest in eco- an unprecedented transition from down. At the end of the 1980s it nomics, to inspire them to think in a command economy to a market became clear that the system in economic terms, and to look for economy would be successful. It Poland would soon go bankrupt, and develop talent for the future was during these unstable times that the time was ripe for restoring economy, but also to spread the in our country that the idea of or- the content of economic categories spirit of competition in mastering ganizing the Economic Knowledge and economic criteria of selection, the difficult issues of the modern Competition (EKC) emerged. The and that decisions in the sphere economy. Nearly three decades of Competition was organized by the of the economy required profes- the Competition have confirmed Polish Economic Society in coop- sionalism based on knowledge of that it is a proven and effective eration with the Ministry of Edu- the economic rules. Thus a new way of disseminating knowledge cation. The first edition took place opportunity to become involved about the economy among young in the school year of 1987/1988. in the processes of change in the people. The EKC and its organiz- The relevance and success of this economic system of the country ers may therefore state with genu- initiative has been subsequently opened up for the Polish Economic ine satisfaction that this is now an confirmed, and soon the thirtieth

* Stanisław Owsiak – Professor, the Chairman of the Main Committee of the Economic Knowledge Competition, University of Eco- nomics in Krakow.

40 I Bulletin PTE No. 1 (72) 2016 Polish Economic Society

undertaking with a great tradition,  Stanisław Owsiak* not only taking into account the lengthy period of its organization and existence, but also its scale. Economies of Scale While not intending to dazzle the reader with too many numbers associated with the organization and course of the EKC over nearly thirty years, nonetheless there is no way to escape some of them. They reflect the importance of this project in the educational system and its economic scale. And it is a massive undertaking, which annually involves around 10,000 second- Economic Knowledge Competition, Serock, 2016 ary school students, which in turn means that throughout the history success. Therefore, the task of the to the scoring and/or assessments organizers of the EKC at all levels of the results are fairly investigated of the EKC almost 300,000 young is to ensure the conditions for each and explained by the Main Com- pupils from secondary schools upcoming edition of the EKC to mittee of the EKC. have participated and, as a result, be held in the Olympian spirit, so became interested in economics that the competition takes place in The Social Dimension of and its practical meaning. Of this a fair and transparent way. Having number 2,800 students were quali- the Project this grave responsibility in mind at fied for the final competition and In describing the Economic all organizational levels – i.e. the 840 received the title of laureate. Knowledge Competition it is im- competitions at the school, prov- It is worth noting that the degree possible to overlook the great self- ince, and national levels – special less organizational effort of the of difficulty of the competition responsibility for the competition finals corresponds to the level of activists of the Polish Economic rests on the Main Committee of Society, school principals, teach- examination questions and prob- the EKC. The Main Committee ers, tutors, and exam monitors, lems to solve contained in the final decides about the subject of sub- who give generously of their time matriculation examination (school sequent editions, the scale of the to perform these additional tasks leaving exam). The young EKC difficulty in formulating the ex- and duties at all levels of the com- participants appreciate this, and amination questions, verification petition, making a unique con- have repeatedly told us in conver- of results, and finally carrying out tribution in providing economic sations with them that they treat the final competition, from which education addressed to the gen- the EKC as a kind of prelude to the the winner and laureates of this eration that will someday decide matriculation exam, as the EKC fi- great project emerge. This is why about the future of our country. nal competitions are held in March the National Board of the PTE in- Many influential economists have and April, i.e. just before the final vites well-known professors of eco- been involved in the organization matriculation exams. The annual nomics, academics, and specialists of the EKC and participated in editions of the EKC involve about in teaching methodology to col- the work of the Main Commit- 900 schools across the country. laborate in the Main Committee. tee of the Economic Knowledge Past years of experience with the Competition. It is also notewor- Competition in the Olym- organization and implementation thy that the EKC’s previous win- pic Spirit of successive editions of the EKC ners - who have obtained degrees, The Olympic spirit is based on show that this practice ensures the work at universities, and occupy competing in an open and fair high quality of the competition. prominent positions in companies, competition to achieve the greatest The occasional, but rare, doubts as financial institutions, and public

Bulletin PTE No. 1 (72) 2016 I 41 Polish Economic Society

authorities - also actively partici- widespread interest and sense of is reflected by the participation of pate in the work on the successive community is visible during these a high-ranking representative of editions of the EKC. The EKC forums, involving meetings with the Ministry each year in the final means building inter-generational those persons mentoring the par- meeting, when the results of each bridges, serving the idea of a soci- ticipants of the central competi- edition of the EKC are announced ety based on economic knowledge. tion. It has become a tradition to and prizes and diplomas awarded. The fact that the previous winners exchange opinions with teachers The esteem and high reputa- of the EKC have been successful in and mentors about the expected tion of the EKC within the entire their professional endeavours also level of knowledge of participants, system of educating young econo- serves to awaken the imagination types of open-ended questions re- mists is reflected by the fact that of the participants in each succes- lated to the EKC exam, analytical the winners are given first-in-line sive competition, motivating them questions, and the tests generally. places in enrolment to economic to diligently study and prepare and These discussions concern the for- courses at all universities in the sparking their interest in the real mulation of the questions and how country. world of economics, encouraging the participants should understand The largest publishing houses in them to observe everyday eco- and tackle them. These workshop the field of economic literature in nomic life in both the country and forums are invaluable because Poland, i.e. the Polish Economic in the European Union, as well as the questions are formulated by Publishing House, the Polish Sci- globally. The activity of the EKC the Main Committee, consisting entific Publishers PWN, and the winners in organizing and promot- mostly of economics professors CH Beck Publishing House also ing subsequent editions may be and university teachers. The aim of play an invaluable role in the mis- considered as a specific and treas- the Main Committee is to ensure sion of popularizing economic ured human capital developed that the required knowledge is in knowledge. These publishers have within the framework of this com- accordance with the participants’ made it possible in the past to pur- petition project. possibilities of acquiring such chase, at preferential prices, those knowledge in secondary school and books relating to the topics of the The EKC, a Permanent outside preparation courses. consecutive editions of the EKC. Element in the System of The activities of the PTE in pur- In addition they bestow bestsellers Economic Education suing the aim of spreading eco- and leading works in economics as Another significant role played nomic knowledge in the school gifts to the winners of the EKC. by the EKC is inspiring an inter- environment are endorsed and In order to make the competition est in economic knowledge on recognized by the Ministry of Na- finals more attractive and ensure the part of teachers, tutors and tional Education, which has been that they are attended not only by mentors, and parents of competi- continuously cooperating and co- the participants, but also by the tors during workshop forums. A financing the Competition. This teachers, mentors and other inter-

42 I Bulletin PTE No. 1 (72) 2016 Polish Economic Society

From left: Prof. Stanisław Owsiak, Dr. Grzegorz Wałęga, Rafał Kamiński Nikodem Kramarz, the winner of the 2016 Economic (2nd), Nikodem Kramarz (1st), Julian Smółka (3rd), Prof. Eugeniusz Knowledge Competition Kwiatkowski, Prof. Bogdan Ślusarz. ested persons, the Main Commit- organized in schools, but also be- my, and Chairman of the Warsaw tee traditionally invites prominent cause it is an inherent part of the Stock Exchange. Such meetings are economists, with specialisations re- mission of the Ministry of National an important event in the lives of lated to the thematic topic of each Education and other institutions, these impressionable young bud- EKC edition, to offer a lecture. Af- which consider activities to raise ding scholars, an opportunity to ter the lecture the audience, and the level of economic knowledge personally meet the architects of especially the young participants, as one of their priorities. In spread- the nation’s economic, monetary, can ask questions. During the final ing economic knowledge via the and fiscal policy. These meetings competition at the most recent, EKC, the Polish Economic Society offer them a unique opportunity 28th edition, of the Competition, has gained the acknowledgment to find out to what extent theoreti- which was dedicated to the 25th and appreciation of the prestigious cal, bookish knowledge is useful in anniversary of the transformation partners and patrons of the project. practice, and reinforces their belief of the Polish economy, Professor These include(d) important state in the value of studying econom- Zdzisław Sadowski, the Honorary institutions such as the National ics. The meetings have become a President of the Polish Economic Bank of Poland, the Ministry of forum for lively discussion, and the Society, was the chosen lecturer Economy, Ministry of Finance, the questions posed and opinions given and his scientific presentation Stock Exchange, and others. The by the EKC laureates sometimes and practical experience were partnership and cooperation of even causes the meetings’ hosts enthusiastically received by the these institutions, as patrons of the to be taken aback by their mastery young people in attendance. The Competition, with the organizers of economic knowledge and de- approaching 29th EKC finals will of the EKC is important not only gree of engagement in the current be held under the motto ‘income in terms of the prestige of this pro- problems of economic policy in the inequality.’ A prominent econo- ject and acts as a magnet attracting country and the world. This well re- mist and a specialist in this field, young people to participate in the flects the high scientific level of the Professor Stanisława Golinowska EKC. No less significant and valua- competition and knowledge gained from the Institute of Labour and ble is their substantial contribution during the preparation for the EKC. Social Affairs in Warsaw, has ac- to the mission of economic educa- The achievements of the EKC win- cepted the invitation to be the tion of young people. The tradition ners are appreciated by the patrons honoured lecturer. of the EKC is that the finalists (100 not only in the form of prizes, but competitors) meet with the Presi- also in the form of internships and A Prestigious Project dent of the National Bank of Po- scholarships offered by prestigious The Economic Knowledge Com- land, and the winners of each edi- state institutions. The patrons of petition has attained a permanent tion meet with the Prime Minister the EKC are the National Bank of place in the system of economic of the Polish Government, Deputy Poland, Bank PKO BP, Bank BPS, education, not only because it is Prime Minister, Minister of Econo- and the Mint of Poland.

Bulletin PTE No. 1 (72) 2016 I 43 Polish Economic Society

29th Economic Knowledge Committee is to choose a topic cal orientations, are increasingly Competition: A Continua- which is attractive and intriguing concerned about the widening in- for the society as a whole and will come inequality, evident in many tion of the Tradition permanently awaken young peo- official statistics, which is found in When choosing a theme, or per- ple’s interest in current economic individual countries, in the Euro- haps one may say ‘motto’ for each life. In previous editions of the pean Union, and in the world as a consecutive edition, the Main EKC the themes were devoted to, whole. Inequalities are manifesting Committee of the Economic inter alia, the economic and social themselves with increasing force Knowledge Competition follows impact of Poland’s accession to the between different professional the unchanging principle that the European Union, issues related to groups, regions, countries, and con- topic issue chosen should be at- the functioning of the euro area, tinents. The process of increasing tractive and current for both the labour market and unemployment, inequality has many aspects. It is Polish and world economy. This is economic and social consequences characteristic that not only do the not an easy choice, as evidenced of the recent financial crisis, the social consequences of income in- by the multitude of proposals sub- crisis in public finances, and other equality arouse concern, but the mitted by members of the Main current problems. economic consequences as well. Committee, and by lively and long The motto chosen for the pre- This highlights the need to iden- discussions over the final decision. sent 29th Economic Knowledge tify, in a better way than before, The news about the motto of each Competition – “Social inequali- the causes of these unjustified in- consecutive edition of the Compe- ties and economic development” equalities inherent in the function- tition is announced in April of each – confirms the principle of taking ing of market mechanisms. What year to the students participating up topical issues. This year the is particularly needed is a more in the final competition and their Competition will be held under comprehensive knowledge and un- teachers. The choice of the motto honorary patronage of Professor derstanding of the functioning of of the EKC for the edition is a mat- Marek Belka, the President of the the ‘invisible hand’ of the financial ter of great importance, because National Bank of Poland. market, which has been most re- it is known that only a small por- In choosing this year’s motto, sponsible for producing these grow- tion of the EKC participants will The Main Committee of the EKC ing inequalities in recent decades. take up economic studies and will took note of the fact that in recent The above arguments fully jus- become professional economists. years the milieu of economists and tify the choice of the keynote and Hence the ambition of the Main politicians, of different ideologi- motto of the 29th EKC – “Social inequalities and economic development.” The participants are required to possess not only the standard knowledge of macroeconomics, microeconomics, and management science, which is reflected in the tests and analytical problems, but also a profiled knowledge of income inequalities and their impact on economic and social development. These issues were reflected in the descriptive tests during the competition at the 1st and 2nd level and will also be present in the final competition, in both the written exam and oral exams. More than twelve thousand pupils from 832 secondary schools have signed up for the 29th Eco- nomic Knowledge Competition.

44 I Bulletin PTE No. 1 (72) 2016 Polish Economic Society

 Stanisław Rudolf* International Cooperation of the Polish Economic Society International cooperation is one of priority activities of the PTE.

or several years one can observe n Participation in international This participation mainly involves F a systematic increase in the seminars and scientific con- three organizations, namely the In- PTE’s international contacts, both ferences; ternational Economic Association at the level of the National Board n Measures to strengthen the posi- (IEA), the European Economic As- and the individual Branches. But tion of Polish economists in the sociation (EEA) and the Congress above all, such cooperation offers international arena; of Political Economists, Interna- benefits for a wide range of academ- tional (COPE). n Support for local Branch Offices ics from Polish universities as well of the PTE in establishing coop- The IEA is the most prestigious as, albeit more rarely, for economic eration with foreign countries. international organization of econo- practitioners. The PTE’s interna- mists. It was founded in 1950 and Below we offer a brief overview of tional cooperation focuses on the brings together national associa- each of these activity areas. following areas: tions of economists, which current- n Participation in the work of Participation in the work ly includes nearly 60 such associa- international organizations of of international organizations as members of the IEA. The economists; tions of economists activities of the organization are supported by, inter alia, UNESCO, the World Bank, and the European Commission. The Polish Economic Society has been an active member of this organization for many years. A representative of the PTE is also a member of the IEA Council. The IEA Congresses are held every three years and are undoubtedly among the most prestigious events in the milieu of economists. The prestige of these meetings results mainly from the fact that a number of the most prominent economists, including Nobel Prize winners, are From left: Omar Licandro, the IEA Secretary General , Joseph E. Stiglitz, former in attendance, as well as because of President of the IEA, Stanisław Rudolf, former Vice-President of the PTE, Tim the importance of the ongoing dis- Besley, present President of the IEA, during the 17th IEA Congress in Jordan cussions which take place, the pro-

* Stanisław Rudolf – Professor, WSB University in Gdansk

Bulletin PTE No. 1 (72) 2016 I 45 Polish Economic Society

Professor Marek Belka, the President of the National Bank of Poland (second from left) during the 17th IEA World Congress posals offered, etc. It is worth noting teen parallel sessions which took There was also a Polish element in that the position of the organization place at the same time. The Con- a panel session devoted to the trans- was built by its successive presi- gress’s programme included more formation problems in North Africa, dents, among which one may men- than 100 such sessions in all, and the Middle East and the countries tion such well-known economists as more than 300 papers were present- of Central and Eastern Europe. E.A.G. Robinson, P.A. Samuelson, ed. In addition, during the Congress During this session, chaired by Prof. E. Lundberg, K.J. Arrow, A.B. At- twenty-five so-called ‘invitation ses- Erik Berglof, chief economist of the kins, R.M. Solow, J. Kornai, M. Aoki sions’ were held, prepared entirely European Bank for Reconstruction or J. Stiglitz. We maintain espe- by certain universities, companies, and Development, Polish Professor cially good relations with J. Stiglitz. and institutions, with nearly 100 Marek Belka, President of the Na- The PTE released several of his papers presented thereat. In additional Bank of Poland, was a panel- books, including “Freefall: America, tion panel sessions took place dur- list. He gave a brief description of Free Markets, and the Sinking of ing lunch breaks (lunch panels). the Polish transformation, pointing the World Economy.” It is worth noting that two young on one hand to the problems en- Between 6 and 10 June 2014 the economists from the University of countered, which arose from the ex- IEA World Congress was held in Warsaw took part in the Congress: isting conditions, and on the other Jordan. It gathered together nearly Karolina Goraus and Wojciech Har- hand to its concrete results, which 600 participants and invited guests. dy, both from the Department of were better, even much better, than Discussions were held in plenary Theory of Economic Development in other countries. The PTE was sessions (five sessions), and in- fif headed by Prof. Barbara Liberda. represented at the Congress by Prof. The IEA Council Meeting in Jordan

46 I Bulletin PTE No. 1 (72) 2016 Polish Economic Society

The IEA Congress in Jordan The COPE Congress in India, 2008, the meeting of the Board of Directors Stanisław Rudolf, Vice President of COPE holds its congresses every is very timely: “The Global Econo- the PTE and a member of the IEA year, but unlike the EEA and IEA, my in Transition.” Council. Following the end of the the COPE congresses are thematic. Jordan Congress, Prof. Timothy Bas- Their subjects are, however, usually Participation in inter- ley from the London School of Eco- quite generally formulated, which national seminars and nomics was appointed as president. makes them open to economists The EEA Congresses are held eve- with various specializations. These scientific conferences ry year and are attended by approxi- one-week conferences are usually Annual seminars organized in mately 1500 – 1800 participants. held in very attractive locations. Pol- Germany, in Vlotho on the river Unlike the IEA, membership in this ish economists play a leading role in Weser, have a special place in organization is individual. Although COPE, both due to the large num- the PTE’s international coopera- it is formally a European association, ber of Polish participants in the con- tion. These seminars are organized at its congresses one can meet econ- gresses, and also because many serve jointly by the National Board of omists from all continents among its as authorities of the organization. the PTE and the Ludwig Erhard members and participants. Mainly Prof. Irmela Gorges from the Free Foundation based in Bonn. Some young economists, mostly lectur- University Berlin is the current pres- 25-30 participants attend the semi- ers and doctoral students, as well as ident of COPE. Eight Polish econo- nars, including representatives of students take part in the congresses. mists (M. Gorynia, W. Grudzewski, academic institutions from across The congresses of the organization I. Hejduk, A.R. Kozłowski, R. Mat- Poland, winners of the Economic are held in European countries. Be- era, E. Mączyńska, S. Rudolf, and Knowledge Competition, as well as tween 24 and 27 August 2015 the P. Urbanek) are members of the private entrepreneurs. The seminars Congress was held in Mannheim, COPE Council. are almost entirely financed by the Germany. This Congress was at- In July 2012 the COPE Congress Ludwig Erhard Foundation and are tended by a dozen Polish, mostly was held in Zurich, Switzerland. Its focused on important issues of the young, economists. Some of them topic was formulated as “Sustainable social market economy. The par- were delegated by Polish universi- global and regional development.” ticipants seek to learn more about ties, while others were post-graduate It was attended by a record num- it and discuss whether it is possible students studying in Western coun- ber of Polish economists. Similarly to use this concept in the currently tries. The next Congress will be held to previous congresses the discus- existing conditions. Meetings with in Geneva, Switzerland from 22 to sion included a heavy emphasis on outstanding scientists and German 26 August 2016. issues concerning Polish economic politicians constitute an important The third of these organizations, life. The results of the congress were part of the seminar agenda. the Congress of Political Econo- published in a special monograph in Between 16 and 30 August 2015 mists, International (COPE) is less English. The next COPE Congress another such seminar, already the numerous, but it also brings togeth- will be held from 6 to 12 July 2016 in 24th, took place. Prof. Elżbieta er economists from many countries. Madrid. The topic of the conference Mączyńska, President of the PTE

Bulletin PTE No. 1 (72) 2016 I 47 Polish Economic Society

The COPE Conference in Zurich served, as in previous years, as a tu- Moscow and Warsaw. The PTE also crease such participation consisted, tor of the seminar. The participants works with organizations of econo- inter alia, in the dissemination of in- discussed the topic of the seminar: mists in some European Union formation on seminars, conferences, “Ordoliberal Concept of Social Mar- countries. A representative of the and international congresses, encour- ket Economy: Implementation in PTE participated in the Round Ta- aging Deans of Faculties of Econom- Germany and Poland.” This was a ble Conference in Italy, as well as in ics to support the mobility of young continuation of the discussion from the annual symposium of the Span- economists by funding scholarships, previous years. The seminar was at- ish Economic Association which was etc. Unfortunately the results of tended by 27 people from Poland, held in Granada in Spain, and in these activities are, so far, unsatis- as well as scientists and politicians many other meetings. factory, hence the PTE is looking for from Germany and Belarus, and was new solutions in this area. dominated by topics such as current Strengthening the position To open the Society to foreign con- problems in ordoliberalism and the of Polish economists in the tacts, in 2012 the PTE organized the new humanism in economics. It is international arena Forum of Presidents of Economic worth emphasizing the high profes- One of the most important tasks Societies of the countries of Central sional level of the presented papers which the PTE has been working on and Eastern Europe, which was held as well as of the discussions. for a long time is the promotion of at the headquarters of the National The Polish Economic Society also Polish economists in the internation- Board of the PTE in Warsaw. It was works with the Free Economic Soci- al arena. In recent years, the main attended by the Presidents of such ety (VEO) of Russia. It is the oldest effort was focused on increasing the organizations from Hungary (The (founded nearly 250 years ago), the participation of young Polish econo- Hungarian Economic Association), largest (about 300 thousand mem- mists in the EEA and IEA congresses. Latvia (Economists Association bers), and the most influential -or This gives them the opportunity to 2010), Russia (The New Economic ganization of Russian economists. present their scientific achievements Association) and Poland (Polish Representatives of the PTE and and establish contacts with foreign Economic Society). The Secretary VEO meet on a regular basis in both economists. Previous attempts to in- General of the International Eco-

48 I Bulletin PTE No. 1 (72) 2016 Polish Economic Society

nomic Association was an honorary as exchange experiences in all ar- The PTE is taking many other guest of the Forum. The representa- eas. These objectives were generally initiatives for international cooper- tives of economic associations from achieved, and the Forum partici- ation. It should be noted here that Romania (The General Association pants unanimously agreed on the we are developing cooperation with of Economists from Romania), Rus- need to continue such meetings. Polish economists living abroad, sia (The International Union of including by enriching our web- Economists), and the Czech Repub- Support for the PTE site link “Polish economists in the lic (The Czech Economic Associa- Branches in establishing world” with new people, as well as tion) took part in the preparations international cooperation through the publication of books, for the Forum, but for various rea- articles, etc. Some of the Polish In order to develop the PTE’s in- sons were unable to take part in the economists abroad participate in ternational cooperation it is essen- the Congresses of Polish Econo- Forum. It is worth noting that the tial that the various PTE Branches mists organized by the PTE. This PTE covered the costs of the Forum also undertake initiatives in this participants’ stay in Warsaw. respect, although so far the foreign cooperation is being enhanced by The Forum was intended to es- contacts of the Branches are rather the development and enrichment tablish contacts between the eco- minimal. This is definitely a wasted of the English language version nomic Societies of this part of opportunity for making their work of the PTE website, focusing on Europe, to get to know each other, more attractive. Trips abroad, ex- contacts with foreign economists gain specific knowledge about the changes of experiences, and joint and organizations of economists, extent and forms of each others’ seminars with foreign partners can and on posting information about activities, their role and position in enhance the activity of Branches conferences and international con- their respective countries, etc. The and be beneficial for all parties. In gresses. The PTE also organizes Forum’s objective was also to find a this respect some Branches have English-language seminars with the plane for possible collaboration and used the contacts of their local au- participation of foreign guests, pro- to determine its prospects for both thorities or local governments with motes international events in the the near and distant future, as well their foreign partners. “PTE Bulletin”, etc.

The COPE Conference in Zurich

Bulletin PTE No. 1 (72) 2016 I 49 Polish Economic Society

 Jerzy Kaźmierczyk* Scientific Council of the Polish Economic Society The Scientific Council is a collegial body of the PTE, whose main task is to shape and implement the scientific policy of the Society.

The majority of Board members are academics, and the majority of them, about 80%, are independent researchers. Such a composition designed is to guarantee a high level of scholarly work of the Council. The Council usually meets several times a year, although its recent dynamic activity gives rise to the From left: Prof. Marian Gorynia, Prof. Ryszard Kokoszczyński, Prof. Jerzy prospect of more frequent meet- Osiatyński ings. The current composition of held with representatives of the didates to the Sejm and the Senate the Council was elected in 2015. Foundation, but more importantly of the Republic of Poland. An ex- Over the last year, in addition to two representatives of the Scien- pertise concerning the activities of regular meetings, the Council be- tific Council, namely Prof. Krysty- the MPC was prepared by Dr. Jerzy gan work on several projects. One na Piotrowska-Marczak and Dr. Kaźmierczyk and published on the of them is a project involving so- Jerzy Kaźmierczyk, participated in project website (http://monitoring- cial monitoring of the election of meetings of the parliamentary and kandydatow.org.pl/?page_id=50). members of the Monetary Policy Senate committees which ques- The idea behind the monitoring is Council (MPC), a project carried tioned the candidates for the MPC to present the profiles of the candi- out jointly with the Stefan Batory and then gave opinions on the can- dates to the public and to popular- Foundation. A team was appointed from among the members of the PTE Scientific Council to provide The meeting of the Scientific Council substantive support for the project, the organization of which was coordinated by the Stefan Batory Foundation. Under the umbrella of this project several meetings were

* D r. Jerzy Kaźmierczyk – Poznań University of Economics and Business

50 I Bulletin PTE No. 1 (72) 2016 Polish Economic Society

 Jerzy Kaźmierczyk* ize knowledge about the essence of March 2016 the Council debated PTE) was the moderator of the monetary policy. The actions taken within the walls of the Poznan Uni- meeting, which was chaired by Prof. resulted in a debate, which was versity. After the meeting of the Marian Gorynia (Chairman of the held on the 23rd of March 2016 Council, a seminar was held based Council). at the PTE headquarters at Nowy on the theme: “Migration processes The members of the Scientific Świat Street in Warsaw; entitled and the labour market in Poland.” Council also took an active part “New Monetary Policy Council – The seminar was co-organized by in many other events organized by New Monetary Policy(?). What the Committee on Economic Sci- the PTE, including Thursdays at should not only economists know, ences of the Polish Academy of Sci- the Economists; the Conference but also the citizens.” The meet- ences. The panellists of the seminar “History and future of the Polish ing was attended by current and were: Prof. Irena E. Kotowska (War- Economic Society”; (27 November former members of the Monetary saw School of Economics); Prof. 2015, Łódź), as well as in the In- Policy Council. More information Aleksy Pocztowski (Cracow Uni- ternational Scientific Conference: about this ongoing project can be versity of Economics); Prof. Maciej “Social inequalities and economic found on the above-listed project Duszczyk (University of Warsaw); development” (3-4 December website. and Prof. Maciej Żukowski (Poznań 2015, Zielona Góra).nt informa- Courtesy of the Chairman of the University of Economics and Busi- tion about the Scientific Council Board, Prof. Marian Gorynia, Rec- ness). Prof. Eugeniusz Kwiatkowski of the Polish Economic Society can tor of the Poznań University of Eco- (University of Lodz, Vice-President be found on the Society’s website: nomics and Business, on the 9th of of the Scientific Council of the http://pte.pl/3_wladze_pte.html The Uneven Distribution of Income Threatens Civilization Professor Grzegorz W. Kołodko* received the PTE’s Special Award of Honour for scientific achievement and promoting Polish economics in the world. The award ceremony was held on 7 May 2015 during the open meeting of the PTE Scientific Council. The current scale of income di- As Prof. Bogusław Fiedor, vice pre- stribution in the world economy, sident of the PTE, related in his lau- that we are dealing with a profes- with its rising growth of inequality, datory introduction, Prof. Kołodko’s sor whose achievements, not only threatens our civilization,’ said Prof. achievements include more than in science but also in the sphere of Grzegorz Kołodko during his lectu- 400 publications and 50 monogra- popularization, “are widely known re, entitled “Whither the World?” phs, translated into 26 languages. and appreciated.” He added that al- He argued that it is possible to re- His book Truth, Errors and Lies. though sometimes Kołodko has been concile a more uniform income di- Politics and Economics in a Volatile criticized, or his work called into qu- stribution with economic growth World has been translated into ten estion by some, this is a normal part and technological progress. languages. Prof. Fiedor emphasized of life devoted to the social sciences.

* Prof. Grzegorz Kołodko is currently affiliated with the Kozminski University in Warsaw. In the past, he was twice Deputy Prime Minister and Minister of Finance - in the years 1994-97 (in the governments of Waldemar Pawlak, Józef Oleksy and Włodzimierz Cimoszewicz) and in the years 2002-03 (in the cabinet of Leszek Miller).

Bulletin PTE No. 1 (72) 2016 I 51 Polish Economic Society

NEW PTE PUBLICATIONS Finanse a dobrobyt społeczny Problemy rozwoju rolnictwa i gospodar- [Finance and the Good Society, Polish edition] ki żywnościowej w pierwszej dekadzie Robert J. Shiller członkostwa Polski w Unii Europejskiej [Prob- The author argues that the financial system is lems in the Development of Agriculture and not a massive parasite preying on the society, but the Food Sector in the First Decade of Po- rather the key to solving many social problems land’s Membership in the European Union] and raising the general level of prosperity. Eds. Andrzej Czyżewski, Bogdan Klepacki This book contains reflections on the most important economic and social issues concerning rural areas, agriculture

KAZIMIERZ ŁASKI WYKŁADY Z MAKROEKONOMII Wykłady z makroekonomii. Od Wydawcy Książka ta jest niezbędnym antidotum na dominację nurtu neoliberalnego itself, as well as agribusiness as generally understood. w akademickim nauczaniu ekonomii, co można uznać za swego rodzaju dydaktyczne zdoktrynalizowanie. Skutkuje to znacznymi lukami w wiedzy ekonomicznej absolwentów studiów, przekładając się zarazem na kosztowne, zagrażające trwałą stagnacją czy nawet recesją, błędy w przyjmowanych podstawach polityki społeczno- -gospodarczej. Gospodarka kapitalistyczna bez bezrobocia Kazimierz Łaski w bardzo atrakcyjny dla czytelnika, przejrzysty sposób przedstawia odmienną teorię ekonomii. Przedstawia ekonomię zakorzenioną w niedocenianej KAZIMIERZ ŁASKI wciąż (zwłaszcza w naszym kraju) teorii Kaleckiego. Wskazuje na użyteczność tej teorii w rozwiązywaniu najtrudniejszych obecnie w gospodarce problemów, w tym przede wszystkim problemu bezrobocia. Książka ta nie tylko powinna znaleźć się w kanonie lektur dla wszystkich osób stu- WYKŁADY Determinanty rozwoju Polski. Rynek diujących ekonomię. Powinna stanowić obowiązkową lekturę dla głównych kreato- rów życia społeczno -gospodarczego. W książce tej bowiem obalane są rozmaite, niebezpieczne ekonomiczne mity, zagrażające harmonijnemu rozwojowi społeczno- [Lectures on Macroeconomics: A Capitalist -gospodarczemu i poprawie jakości życia ludzi. Humanitarna troska przebija nie- Z MAKROEKONOMII malże z każdego z rozdziałów tej książki.

Elżbieta Mączyńska Prezes Polskiego Towarzystwa Ekonomicznego GOSPODARKA pracy i demografia [Determinants of Po- KAPITALISTYCZNA Recenzowana książka to podręcznik makroekonomii oparty na długotrwałych bada- Economy without Unemployment] niach przez autora dorobku Michała Kaleckiego i powiązanych z nim autorów takich jak John Maynard Keynes i Josef Steindl, a także na wnikliwych badaniach autora nad BEZ BEZROBOCIA rozwojem gospodarek kapitalistycznych po drugiej wojnie światowej. Wraz z dogłębną wiedzą autora, zaletą książki jest klarowny styl, dostępny dla zaawan- sowanych studentów ekonomii pierwszego stopnia a także dla ogółu studentów nauk land’s Development: The Labour Market społecznych posiadających pewną wiedzę z zakresu ekonomii. Jako podręcznik ekonomii, książka jest wybitna. Powinna zostać przetłumaczona na Redaktor naukowy język angielski. Rynek zbytu na postkeynesowski podręcznik tej klasy jest ogromny. Kazimierz Łaski Z pewnością uczyniłbym tę książkę głównym podręcznikiem dla mojego przedmiotu Jerzy Osiatyński Makroekonomia Zaawansowana. Z recenzji Jana Toporowskiego . Eds. Eugeniusz Kwiat- Professor of Economics and Finance and Demography] London University This book is an antidote to the mainstream kowski, Barbara Liberda 9 788365 269102 neo-liberal dominance in academic studies gospodarka bez bezrobocia - okladka.indd 1 25-11-15 12:33:49 This book undertakes an analysis of relations and the teaching of economics. Kazimierz Las- between the labour market and economic de- ki presents a different economic theory, rooted in the still- velopment in Poland in comparison to other countries, and in undervalued theory propagated by Kalecki. particular to European Union countries.

Dobra publiczne: wczoraj-dziś-jutro Modele ustroju społeczno-gospodarczego. [Public Goods: Yesterday-Today-Tomorrow] Kontrowersje i dylematy [Models of Socio- economic Development: Controversies Jerzy Kleer and Dilemmas]. Ed. Elżbieta Mączyńska The author argues that the marginalization of The contents included in this book are a kind the public sector is a costly, crisis-generating er- of synthesis of the ongoing debate in the ror. He points to the both the inherent and tra- country and abroad on the political changes, ditional, as well as new functions of the public their underlying reasons, and on the current state of and fu- sector, which is developing under the influence ture of capitalism. of civilization changes, globalization, and new technologies. Determinanty rozwoju Polski. Polityka In- nowacyjna [Determinants of Poland’s De- SELECTED WORKS FROM THE 9TH CONGRESS velopment: Innovative Policy] OF POLISH ECONOMISTS red. Joanna Kotowicz-Jawor, Stefan Krajew- Ekonomia dla przyszłości. Fundamentalne ski, Ewa Okoń-Horodyńska This monograph includes papers dealing with problemy teorii ekonomii i praktyki gospo the innovativeness of the Polish economy. darczej [Economy for the Future: Funda- mental Problems in Economic Theory and Determinanty rozwoju Polski Finanse publi Business Practice] czne [Determinants of Poland’s Develop- Ed. Elżbieta Mączyńska ment: Public Finances]. Ed. Stanisław Owsiak The contents of this book contribute to a Issues concerning the theory and practice of better understanding of the different trends of economic public finances are the subject of both an in- theory and provide an objective assessment of the practi- tense scientific debate as well as a comprehen- cal utility of these trends and their rational use in practice. sive search for practical solutions. Nauki ekonomiczne Stylizowane fakty a wy- Polska w Unii Europejskiej i globalnej zwania współczesności [Economic Sciences: gospodarce [Poland in the European Union Stylized Facts and the Challenges of Moder- and the Global Economy] nity]. Ed. Bogusław Fiedor Eds. Marian Gorynia, Stanisław Rudolf This monograph includes a variety of studies The articles included in this collection con- discussing key issues in the context of the de- cern Poland’s place in the world economy (as velopment of economics and other disciplines broadly understood), with particular focus on within the field of economic science. On one hand it relates to selected aspects of Poland’s economic coopera- the global discussion within these sciences on the phenomena tion with foreign countries. accompanying the crisis, and on the other hand it relates to the real economic reality. 52 I Bulletin PTE No. 1 (72) 2016 Polish Economic Society

Edukacja dla zrównoważonego i trwałego rozwoju Efektywność procedur upadłościowych. oraz społecznie odpowiedzialnego biznesu [Edu- Bankructwa przedsiębiorstw. Katharsis cation for Balanced and Sustainable Development i nowa szansa [The Efficiency of Bank- and Corporate Social Responsibility] ruptcy Procedures: Bankruptcies of Com- Ed. Artur Pollok panies. Catharsis and a New Chance] The authors summarize the changes in the Elżbieta Mączyńska, Sylwia Morawska economic education of society and formulate Warsaw School of Economics’ Publishing House the future challenges in this regard. The subject of this research work involved the assessment of normative solutions regulating bankruptcy adopted by Sektor Finansowy. Stymulatory i zagrożenia the Polish legislature and analysis of the effectiveness of the rozwoju [Financial Sector: Incentives and civil-law and criminal-law mechanisms for protecting the Threats to Development] interests of entrepreneurs, creditors, and debtors, as well as Ed. Krzysztof Pietraszkiewicz the impact of these regulations on the competitiveness of The authors present readers with the results of the Polish economy. their own research and, through a review of the literature, present both the factors conducive to Ekonomia jest piękna? Księga dedykowana the development of the economy and the financial sector, as Profesorowi Jerzemu Wilkinowi [Econom- well as draw attention to the existing and potential threats ics is Beautiful? A Book Dedicated to Pro- to their development fessor Jerzy Wilkin] Eds. Łukasz Hardt, Dominika Milczarek- ECONOMICUS 2015 Andrzejewska. Wydawnictwo Naukowe Scholar Reformy systemu emerytalnego. Krótki The authors of the collected texts in this work touch upon przewodnik [Pension Reform: A Short Guide, widely-discussed problems in the fields of the methodology Polish edition and philosophy of economics. They undertake an analysis of Peter Diamond, Nicholas Barr the relationship between the state, social sphere, and eco- translated by Dr. Zbigniew Matkowski nomic sphere, with particular emphasis on agriculture and This work was awarded second place in the cat- rural development. egory “Best Translation” in the “Economicus” competition (organized by “Dziennik Gazeta Prawna”) Czy Świat się chwieje. 20 rozmów o tym, for the best economic and business book. co z nami dalej [Is the World Wobbling? Twenty Conversations About What Will BOOKS OF OTHER PUBLISHING HOUSES Happen to Us in the Future] Grzegorz Sroczyński. Agora Państwo wobec wolności gospodarczej. Teo- Grzegorz Sroczyński talks with Marcin ria i praktyka transformacji [The State and a Król, Jan Krzysztof Bielecki, Karol Mod- Economic Freedom: Theory and Practice of zelewski, Elżbieta Mączyńska, Jerzy Haus- Transformation] er, Piotr Kuczyński, Stanisław Owsiak, and Leokadia Eds. Wacław Jarmołowicz, Dawid Piątek Oręziak, and others. Poznan University of Economics Cena nierówności This book was awarded the team award of the [The Price of Inequality, Polish edition] first degree, by the Rector of the Poznan Uni- Joseph Stiglitz versity of Economics, for original and creative scientific Wydawnictwa Krytyki Politycznej achievements in the academic year 2014/2015. This book is published under the patronage Bankructwa, upadłości i procesy naprawcze of the PTE. przedsiębiorstw. Wybrane aspekty regulacyjne [Bankruptcy, Insolvency and Corporate Re- Polski węgiel [Polish Coal] covery Processes: Selected Regulatory Aspects] Edwin Bendyk, Urszula Papajak, Marcin Ed. Elżbieta Mączyńska. Warsaw School of Popkiewicz, Michał Sutowski Economics’ Publishing House Wydawnictwa Krytyki Politycznej A theoretical and empirical analysis of the basic This book is published under the patronage characteristics, phenomena, processes, and pro- of the PTE. cedures related to bankruptcies and company insolvencies.

Bulletin PTE No. 1 (72) 2016 I 53 Polish Economic Society

Professor Antoni Kukliński - One the Founders of the Strategic Thought Forum

In 2015 we had to say goodbye to Prof. Antoni Kukliński – an outstanding scientist, an innovator in his field, an inspiration for an array of international and national research projects, and a highly valued member of and contributor to the PTE.

Prof. Kukliński distinguished tant were probably the years 1965- himself in the world of science as 1971. In 1965-1966 he was appoint- a manager of the United Nations ed consultant to the United Nations UNRISD programme on regional Economic Commission for Europe development and editor of a widely in Geneva. In 1967, he accepted cited and influential series of books the nomination for the position of under the Regional Planning Pub- director of the United Nations UN- and studies of the relevant world lication Programme. He held gov- RISD regional research program. and national literature. The par- ernment positions as Deputy Min- The years 1976-1996 marked his ticipants of the debates, which took ister of Foreign Affairs and Deputy long-standing activity at the Uni- place mainly at the headquarters of Chairman of the Committee for versity of Warsaw. The consecutive the PTE, comprised persons from Scientific Research. versions of the European Institute the academic, business, and central Among the rich biographi- for Regional and Local Develop- and local government communi- cal achievements of Professor ment, as an important interdisci- ties. The debates - on the future of Kukliński it is well worth mention- plinary institution, arose from his Poland, Europe and the world - un- ing his creative participation in the initiative. This Institute developed dertaken within the framework of construction of Polish economic and implemented many research the Forum aroused a great deal of geography in the years 1954-1958. programmes, especially the Local interest on the part of all the par- This involved breaking away from Poland Programme and the Vienna ticipants. Some of them, such as an the cul-de-sac of copying the So- Programme. international conference organized viet economic model, and creating Prof. Kukliński, as director of the jointly with the Club of Rome and a modern vision of the Polish eco- Polish Association for the Club of the Ministry of Regional Develop- nomic geography. Rome, was one of the founders of the ment (Warsaw 2008), brought to- In the years 1958-1959, thanks Strategic Thought Forum in 2008 gether prominent experts, including to a grant from the Ford Founda- (together with the Polish Economic world-class futurologists. The intel- tion, Prof. Kukliński studied in Society and the Warsaw School of lectual output of the Forum was the United States. The year 1965 Economics). The main objective of published in special PTE Bulletins. opened a new chapter in his biog- the Forum was to promote strategic Professor Kukliński will be sorely raphy – cooperation with the UN, thinking in Poland. This objective missed and his invaluable contribu- which continued in various forms was implemented through a series tions to the PTE’s activities long re- until 1981, although most impor- of debates, research and analyses, membered.

54 I Bulletin PTE No. 1 (72) 2016 Polish Economic Society

 Jerzy Osiatyński* Remembering Kazimierz Laski – (15 December 1921 – 20 October 2015) Born in Poland, in Czestochowa. During the war Laski fought and up-dating Kalecki’s theories in in the People’s Army. In 1945 Laski started studying economics the global economy environment, at the Academy for Political Science in Warsaw from which he as well as his continuous defence of the theoretical foundations and the graduated in 1948. practice of government intervention Laski himself segmented his re- policies based on effective demand search output into three periods: (i) theory. These studies made him the prior to Kalecki, (ii) with Kalecki, truest student and follower of Kal- and (iii) after Kalecki. In the first ecki. In neglecting the consequenc- phase, his research focused on stud- es of aggregate supply changes that ies in the dynamics of investment follow cuts in aggregate demand, he and consumption in the course of saw, next to crisis-prone adjustments Poland’s fast industrialisation in the in a market economy, also the cause 1950s. The second phase represents of economic policy mistakes in the his close collaboration with Michal early stages of economic transfor- Kalecki, whose theories and per- mation in 1989-90, and especially in sonality fascinated Laski. He soon the thereby invoked, unnecessarily became his strong proponent and to economic theorising. Moreover, a deep economic recession. eager student. It is then that Laski quarter of a century later, in Poland At the time, being a Minister in publishes his Outline in the „Theory those post-1956 outposts of econom- Tadeusz Mazowiecki’s Government, of Socialist Reproduction”, as well ic ‘revisionism’ facilitated its trans- I invited Laski to write for me – in as other papers that developed Kal- formation from a centrally planned the capacity of my official advisor – ecki’s theory and popularised it. to a market economy. a memo on some short-run macro- The significance of those studies In that phase, Laski’s research, economic consequences of Poland’s went far beyond academia. They set teaching and organisational initia- shock therapy. Next, I circulated his theoretical limits to economic volun- tives significantly contributed to memo among senior economic min- tary decision-making and requested establishing in Warsaw a research isters and Government advisors, but central planners to accept constraints centre which sometimes was called the importance of Laski’s note was imposed by cost-benefit analysis (al- a ‘Socialist Cambridge’, the cen- not appreciated by them. Regretful- beit not too much practical effect). tral figure of which was Kalecki. ly, time proved his argument right. Kalecki, Laski and their close col- This ‘Golden Age’ of research and Moreover, the memo brought Laski laborators requested the political de- development was disrupted, how- full recognition in Europe and else- cision-makers who forced ever larger ever, by the anti-Semitic purges in where for the accuracy of its analysis investments to consider the resulting Poland in 1968. Laski emigrated and recommendations. short-run changes in consumption. to Austria where he first worked Until literally the last days of his Although from today’s perspective, at the Austrian Institute of Eco- life, he continued work on his new the practical impact of the suggested nomic Research and then at the book. His “Lectures in Macroeco- constraints on politically motivated Vienna Institute for Comparative nomics: A Capitalist Economy with- investment decisions was negligible, Economic Studies, of which he it infuriated the communist political was Research Director in 1991-96. out Unemployment”, is a textbook leadership for the lack of subordina- In 1971 he also assumed a chair at based on present day’s extensions tion of elite economic professors. At Johannes Kepler University in Linz and development of the theories of the same time, however, it distin- where he taught until 1991. Kalecki and Keynes. guished Poland from other centrally The ‘post-Kalecki’ phase represents Let this memory of him stay planned countries, paving new ways Laski’s further studies in developing with us.

* Jerzy Osiatyński – Professor, Institute of Economic Sciences, Polish Academy of Science.

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 Kazimierz Starzyk* Professor Edward Szczepanik – Economist, Soldier, Statesman

Edward Szczepanik’s works have a unique character. They have a timeless value, both in their methodological and cognitive aspects, and they make an important contribution to the theory and economic policy of developing countries.

dward Franciszek Szczepanik taught at the Royal Institute for In- to the II Corps of the Polish Army Ewas born on 22 August 1915 ternational Affairs at the time. Af- under Gen. Władysław Anders. Lat- in Suwałki, Poland. He graduated ter the Second World War the two er Szczepanik went on to become from high school there in 1933. Af- became friends and cooperated in an officer of the 4th Light Artillery terwards he went on to commence academia. Regiment in the 5th Infantry Divi- his studies in the Warsaw School of Upon his return to Poland Szc- sion and fought along the Eastern Economics, from which he gradu- zepanik began working as an assis- front from the Volga regions to Italy, ated in 1936 with a master of arts tant to Prof. Lipiński at the Warsaw where he took part in the battles of diploma in economics, with hon- School of Economics, in the De- Monte Cassino, Ancona and Bolo- ours for his thesis “British monetary partment of Political Economy. He gna. During his time in Italy he was problems in time of economic cri- also worked at the National Bank of promoted to major. sis”. He wrote his thesis under the Poland, where he wrote his innova- In 1945 he was awarded a Cross supervision of prof. Edward Lipiński tive paper “On the matter of neutral of Valour for the Battle of Bologna, as part of a seminar on political eco- money” (1938). two Silver Crosses with Swords, and nomics and schools of economic Edward Szczepanik’s academic the Croce al Merito di Guerra, as cycles. After graduation he did his career was halted by the start of the well as a number of British medals military service. World War II. He put down his pen of honour. For his outstanding con- In 1937 he received a scholarship and took up arms. As an officer ca- tribution to Poland, the Polish Gov- from National Fund for Culture, det he was sent to Vilnius, and later ernment in Exile awarded him the which allowed him to continue was taken prisoner in Latvia and de- Knight’s Cross of Polonia Restituta his studies in London in, among tained in the prison in Kozielsk, then and a Commander’s Cross of Polo- other places, the London School of sent to the Kola Peninsula and even- nia Restituta. During the war he Economics and Political Sciences, tually deported to Murmansk. After held classes on social issues for his where he used his two year stay to the Sikorski – Majski agreement was fellow soldiers. Following the break prepare his doctoral thesis. signed on 30 July 1941 he travelled up and demobilisation of the Polish Thanks to a recommendation by ship to Arkhangelsk (Russia) and armed forces in 1946, he became a from Prof. Edward Lipiński he had by train to Tatishchev on the Volga tutor in the Faculty of Economics the opportunity to study under River, where the 5th Infantry Divi- and Law at the Centre for Academ- Prof. Lionel Robbinson and Prof. sion was formed, marking the re- ic 2nd Corps, where he gave lectures Friedriech von Hayek. It was during formation of the Polish Army on for- and seminars in economics. his cooperation with the latter that eign soil. There in December 1941, Upon completion of his military Szczepanik began writing his thesis. during the visit of Gen. Władysław service he settled permanently in In London Szczepanik also met Sikorski, Szczepanik was promoted England and returned to academic prof. Paul Rosenstein-Rodan, who to Second Lieutenant and assigned work. He started with a series of lec-

* Kazimierz Starzyk – Professor, WSB University in Poznań

56 I Bulletin PTE No. 1 (72) 2016 Polish Economic Society

 Kazimierz Starzyk* Department’s dean. He also co-or- hand it addresses the challenges sur- ganised the Hong Kong Economic rounding the use of internal factors Association. – mainly the use of skilled labour Szczepanik’s studies in Hong Kong as a method for increasing labour centred around the economic and productivity and thereby increasing social problems of developing coun- economic growth. It also empha- tries, with special focus on the econ- sizes the importance of the cultural omies of Southeast Asia and Hong factor, which in the literature on the Kong. His main research interests also subject would later be referred to as included the problems surrounding the so-called ‘Asian values’. Chinese economic development in In the preface to Szczepanik’s the context of its emerging links with work, F. Benham highlighted the the global economy in the late 1950s method used to analyse the devel- and 1960s (the so-called “Great Leap opment of the Hong Kong economy Forward” program). and its achievements, and formu- Szczepanik’s academic stay in lated the following opinion about Hong Kong resulted in a number of the book: „This spectacular devel- influential world publications. Two opment, which has enabled Hong of these deserve particular recogni- Kong to achieve standards of living tion as they unquestionably con- much higher than in most Asian tributed to the field of economic countries, must be of great interest tures in political economy at the Pol- science, especially developmental to all who are concerned with prob- ish University College (PUC), where economics and, in geo-economic lems of economic growth and indus- he was employed in 1946 as an As- terms, Asian studies, which had trialization. What forms did it take? sistant Professor. He went on to do become more important than ever What conditions made it possible another master’s degree at the LSE, before. The first of these publica- and what forces brought it about? which was required in order to con- tions was the book The Economic What are the limitations, if any, on firm his Polish master’s degree. His Growth of Hong Kong, twice pub- further expansion? These and allied academic work was combined with lished by Oxford University Press questions are answered by Mr. Szc- expertise and social activities. He (in 1958 and 1960) and for which zepanik, a first-class economist who soon became a respected scientist Szczepanik received a PhD from has studied the subject on the spot and consultant of the Polish Govern- London University in 1959. This for four years. His detailed surveys ment in London, which entrusted book can be found in 46 renowned and illuminating analysis make his him with the preparation of expert libraries around the World includ- little book a valuable contribution”. opinions on important issues relating ing the US Library of Congress, Similar attention was given to Szc- to the economic and social aspects of and in 17 of the leading US uni- zepanik’s other book, Symposium the Polish and world economies. versities. The Economic Growth of on Economic and Social Problems He became a board member of Hong Kong provided an innovative, of the Far East, published by Hong the Polish Citizens’ Committee for theoretical foundation for the in- Kong University Press in 1963. Refugees, served as Secretary of the dustrialisation strategies of under- He was also a science editor and Association of Polish Economists developed countries in connection author of a paper titled “Balance Abroad, and was elected president with the creation of their economic of Payments of Mainland China” of the Alumni Association WSE potential. This work continues to which was the first academic -pub Abroad. His written work includes have great value both in terms of its lication on China’s balance of pay- such respected contributions like theoretical and practical application ments and which treated China as „The outline of economic welfare aspects. His theoretical approach a developing country. It is a pioneer policy” (1953). presents, on one hand, the scien- work among the great world aca- In 1953, Szczepanik became tific justification for the economic demics, dealing with issues relating employed by the University of development strategy based on to less developed countries and es- Hong Kong as a senior lecturer and the use of external factors - foreign pecially focused on the key problems co-creator of the Department of trade in particular, and on the other behind Asia’s economic develop- Economics, initially serving as the

Bulletin PTE No. 1 (72) 2016 I 57 Polish Economic Society

ment, in particular that of East Asia. delegate of the Polish Government ber 2005 The Guardian dedicated This position can be found in 35 re- in Exile to the Holy See and took an an article on him, co-written by nowned foreign academic libraries. active part in social work as Chair- Leszek Balcerowicz, stating that: It is worth mentioning that Szc- man of the Polish Council in Italy. „Edward Szczepanik, who died aged zepanik’s scientific achievements After the end of his mission in 90, was the last prime minister of and experiences during his stay in Rome he continued work at Sussex the London-based Polish Govern- Hong Kong were met with great in- University between 1978 and 1981. ment in Exile... He held the post of terest by many international organi- On the basis of the materials he prime minister from 1986 to 1990: zations, and as a result he was given gathered there he published anoth- at a cabinet meeting that year, he the position of economic adviser er work, „New Limits of European advised the last president in ex- in several of them, including the Agriculture” (1985). This work was ile, Ryszard Kaczorowski, to accept Commission for Asia and the Far often cited in many articles on the an invitation to go to Warsaw and East, the U.N High Commissioner directions of Polish economic re- transfer the flag and other insig- for Refugees, and the International forms and the political situation in nia of office to Lech Walesa as the Coffee Organization. He was also Poland. “President of the Republic elected entrusted with the honourable Another pioneering work of world by the Polish people in free gen- function of economic adviser of the renowned scholars dealt with the eral elections”. Walesa expressed Pakistani’s Government Planning issue of underdeveloped countries, his gratitude thus: “You carried the Commission on behalf of Harvard dedicated to the key development banner of freedom with pride. The University between 1961-1963, as problems of the East Asia econo- Polish authorities in exile have per- part of its flagship project on the in- mies, chiefly China and Hong Kong. formed their historic mission with dustrialisation and development of In one of the numerous posthu- dignity and victoriously”. less developed economies. mous memoirs dedicated to Profes- Edward Szczepanik’s works have In 1963, Edward Szczepanik re- sor Edward Szczepanik he was given a unique character. They have a turned to Europe and took up a po- the following ascription: „The first timeless value, both in their meth- sition at the FAO as a senior econo- Economist to chart the growth of odological and cognitive aspects, mist and as a director of Graduate Hong Kong” (South China Morning and they make an important contri- Studies in Agricultural Policy at Post, 19.10.2005). bution to the theory and economic the UN. He was also the Director In 1981 he became a Professor of policy of developing countries. In of agricultural planning courses for Economics at the Polish University conjunction with his research into economists from the developing in Exile (PUNO). He also held the agriculture and agricultural policy countries. post of dean there. In addition, he during Szczepanik’s stay in FAO be- Parallel to his work as an expert was the chairman of the organising tween 1963-1977, and next at Sus- and to his position at the FAO, Szc- committee and the chief editor of sex University and PUNO, they also zepanik devoted himself to further the ten volumes of the work of the make a significant contribution to scientific work. He conducted- re Congress of Polish Culture in Exile the economics of development and search on the problems of develop- (1985). He also served as President the economics of transition. ment of agriculture and agricultural of the Polish Scientific Society in policy, with special emphasis on de- Exile. Sources: veloping countries and on the Polish In the period 1981-1986 Prof. Sudoł Adam, Edward Franciszek economy. Szczepanik was the Minister of Na- Szczepanik; Ostatni premier rządu RP During this fruitful period of his tional Affairs in the Government of na Uchodźctwie, Wydawnictwo Uni- academic and scientific career, one the Republic of Poland in Exile. On wersytetu Kazimierza Wielkiego, By- work above all demands particular 7 April 1986, following the resigna- dgoszcz 2009. consideration, namely the pioneer- tion of Prime Minister Kazimierz Starzyk Kazimierz, The contribution ing paper “Agricultural Policies at Sabbat, he became the Prime Min- of Edward F. Szczepanik to Econom- Different Levels of Development”, ister of the Polish Government in ics of Development, Zeszyty Naukowe FAO, Roma 1975. It was on the basis Exile, a post he held until the Polish Uniwersytetu Ekonomicznego w Kato- of this piece that the Warsaw School Government in Exile was dissolved wicach, 2016 (to be published). of Economics awarded Szczepanik on 2 December 1990. Starzyk Kazimierz, Profesor Edward the title of Doctor Honoris Causa. Professor Edward Szczepanik died Szczepanik – ekonomista, żołnierz, mąż During his stay in Rome he was a on 11 October 2005. On 19 Decem- stanu, Gazeta SGH, October 2014.

58 I Bulletin PTE No. 1 (72) 2016 Polish Economic Society

Polish Economists in the World The Polish Economic Society maintains contacts with many Polish economists working abroad. These are mainly university lecturers, but also include economic practitioners and persons performing important functions in national and international structures. Some of these people have registered on our website (www.pte.pl). Below we present profiles of some of them:

Wlodzimierz Am- Henryk Kierzkows- cultural economics, values, reli- ber, lives in Goth- ki, lives in Geneva, gion, and happiness. He is also in- enburg, a retired Honorary Profes- terested in information technology lecturer and hon- sor Emeritus of the and computational social science: orary doctor at the Graduate Institute automation, data mining, data Gothenburg School of International De- management and text processing. of Business, Economics and Law at velopment Studies. He uses Linux, Python and Stata. the University of Gothenburg. [email protected] Aleksander Marko Wiktor Askanas, wski, Ph.D. i Associ- Kazimierz Z. Poz PhD., Professor ate Professor. Lives nański – Researcher Emeritus University in Stockholm since and Professor at the of New Brunswick, 1970, graduated Henry M. Jackson strategic manage- from the Faculty of School of Interna- ment and corporate Economics of the University of tional Studies at the governance, Second term Judge of Warsaw in 1969, worked at: [from University of Washington in Seat- the Canadian Competition Tribu- the most recent] Central Bank of tle .He deals with issues related to nal. [email protected] Malta; National Institute of Eco- economic transformation and in- nomic Research in Stockholm; In- ternational relations. Barbara A. De- ternational Monetary Fund; Stock- [email protected] spiney-Zochowska holm University; Central Bank of Research Fellow at Sweden. [email protected] Piotr Pysz – Profes- the CNRS (Centre sor of the University National de la Re- Adam Okulicz- of Finance and Man- cherche Scientifique: Kozaryn, Aassistant agement (WSFiZ) Panthéon-Sorbonne-Economie, Professor of public in Bialystok, he lec- Université Paris 1, CNRS, Maison policy at Rutgers tures economics and University, Cam- des Sciences Economiques, 106- economic policy at the Faculty of den Campus. He 112, Bd de l’Hôpital, 75647 PARIS Economy at the Fachhochschule obtained his Ph. D. from the Uni- Cedex 13. Her teaching and re- für Wirtschaft und Technik in versity of Texas at Dallas in 2008. search interests include Economics Vechta/Diepholz/Oldenburg. He His work has covered a variety of in Transition (since 1990), espe- also lectures systemic transforma- topics: income inequality, con- cially in local and regional studies. sumption, preferences for redis- tion, European integration, and [email protected] tribution, urban and rural issues, economic policy, and deals with

Bulletin PTE No. 1 (72) 2016 I 59 Polish Economic Society

concepts of ordoliberalism and so- economic history, statistics and at the University of cial market economy. macroeconomics. Obtained BSc Bath. She obtained [email protected] Economics from SOAS, University a PhD in Mathemat- of London and MSc Economics ics from the Polish Jerzy T. Rozanski, from University of Leeds. Academy of Sciences lives in Ashburn, [email protected] (Warsaw) and a PhD Virginia, an econo- in Economics from the London mist by education, Danuta Tomczak, Business School. She has held visit- has worked for many lives in Norway, a ing positions at the Haas School of years at the World graduate of the Fac- Business, the University of Califor- Bank. He is also a software com- ulty of Economics, nia Berkeley, the NYU Stern School puter programmer. University of War- of Business, and the Rutgers Busi- Jerzy @ Rozanski.US saw, works at Ostfold ness School. She has published on University College, Halden, inter- the evolving characteristics of finan- Jan Napoleon national economics cial markets, corporate governance, Saykiewicz , Ph.D.; [email protected] regulatory issues concerning public D. Sc., full tenured utilities, and the pension industry. Professor, recently Jan Toporowski, In addition to her academic work Professor Emeri- Professor of Eco- she has also worked on various re- tus at the Palumo- nomics and Finance search projects for numerous UK Donahue School of Business , and Chair of the governmental and regulatory bodies Duquesne University, Pittsburgh, Economics Depart- (e.g., Department for Energy and Pennsylvania, U.S.A. Throughout ment, The School of Climate Change, Financial Services his career Dr. Saykiewicz has been Oriental and African Studies, Uni- Authorities, Competition Commis- mainly involved in the academic versity of London. His work has sion, Her Majesty’s Revenue and life, but he also has some business covered a variety of topics: macro- Customs). [email protected] experience. He also served as presi- economics theory, monetary and dent of the International Manage- financial theory, history of eco- Waldemar W. Ko ment Development Association nomic thought, including Michał czkodaj, Professor, (IMDA), and is a Board Member Kalecki theory. Laurentian Univer- of the Polish Institute of Arts and [email protected] sity, Subury, Ontario, Sciences of America, Inc.; a mem- Canada knowledge ber of the American Marketing Krystyna Vinawer, process, decision Association, Academy of Interna- lives in Paris, gradu- making, subjectivity, inconsistency tional Business and a Fellow of the ated from the Fac- [email protected] Academy of Marketing Science. ulty of Economics, His major areas of interest include: University of War- Marketing Management, Inter- saw, co-founder of national Marketing, Comparative CIRED, employed from 1973 un- Marketing Systems, Logistics. He til 2011 in the Ecole des Hautes is Honorary Consul of the Repub- Etudes en Sciences Sociales,, Cen- lic of Poland in Western Pennsyl- tre International de Recherche sur vania. [email protected] l’Environnement et le Développe- ment – CIRED (International Hanna Szymbor- Research Center on Environment ska, University of and Development), Paris. Leeds, UK Research- [email protected] er at the University of Leeds in the area Anna Zalewska is a Professor of of inequality, finan- Finance and the Founding Direc- cial economics, socioeconomics, tor of the Centre for Governance

60 I Bulletin PTE No. 1 (72) 2016 Polish Economic Society

Taiwanese Evening Professor Elżbieta Mączyńska was an invited guest of the 5th meeting of local businessmen in Ząbki, entitled “Taiwanese Evening”. n important part of the pants also had the opportunity Aevent was a panel discus- to watch a film about the Pol- sion about the economy in ish – Taiwanese relationship. Taiwan, featuring Colin Kao, Colin Kao explained, among Director of the Economic and other things, that certain Pol- Cultural Office of Taiwan in ish products could be sold in Poland, who gave a presenta- Taiwan, such as milk, apples or tion about the culture and various blueberries, which are economy of Taiwan. Partici- of high quality in Poland. Seminar in Vlotho What China’s Leaders The 24th Scientific Seminar “Ordoliberal concept Could Learn From Poland of social market economy – implementation in Ex-Polish finance chief Grzegorz W. Germany and Poland” Kołodko said: „I understand the politics he aim of the seminar, Mączyńska and Prof. Piotr because I have been there. Twhich was held between Pysz, the group coordinators 16 and 30 August 2015 in and mentors of the seminar, Vlotho (Germany), was to the participants presented exchange views and expe- their papers. riences between scientists The leading topics included: and practitioners on the n The situation in post- concept of the ordoliberal war Germany; social market economy, as n Current problems in well as the integration of sci- Ordoliberalism; entists from various scientif- eco- in humanism n New ic centres of Poland, Germa- nomics. ny and Belarus. The event hen it comes to at a conference organized n inspired young researchers The conceptual ap- WChina’s manag- by the People’s Bank of to expand their knowledge proach. ing the transition of an China and the Internation- of Ordoliberalism and also The idea of a social mar- economy from socialism to al Monetary Fund, advises constituted an opportu- ket economy is promoted a free-market led system, shaking up the state owned nity for them to establish on the www.sgr.pte.pl web- its leaders could do worse sector by tackling monopo- contacts with experienced site, which contains more than looking to Poland for lies and allowing privati- teaching staff. Under the information about the sem- lessons. That’s according zations. More comments patronage of Prof. Elżbieta inar in Vlotho. to Grzegorz W. Kolodko, of Grzegorz W. Kolodko a professor at Kozminski on China on Bloomberg University in Warsaw who “What China’s Leaders as Polish finance minister Could Learn From Poland” in the 1990s helped over- http://www.bloomberg.com/ see the country’s economic news/articles/2016-04-21/as- revival in the aftermath of china-mulls-reforms-cham- the Iron Curtain’s collapse. pion-of-polish-model-flags- Kolodko, who was a speaker lessons

Bulletin PTE No. 1 (72) 2016 I 61 Polish Economic Society

Economist’ s Questionnaire Professor Stanisław Owsiak – He became interested in economics while he was still in secondary school. His older sister, a Master of Economics, encouraged him to study in the field. Currently, he specializes in public finance, state financial policy, monetary policy, and public sector economics. Among his proudest accomplishments he considers his book “Finance” (about, inter alia, financial crises and their social effects), as well as the country’s first textbook written during transformation period: “Public Finance. Theory and practice”. He is a former member of the Monetary Policy Council (2004-2010), as well as the initiator and co-founder of the Department of Finance at the University of Economics in Krakow.

What my Economic Society means for me: The organization of Polish economists has been instrumental in enhancing the position and prestige of this profession, even during the period of the planned economy, when the status of economist was inferior. With respect I refer to the more than two hundred year-old tradition of the PTE. I earn money: because we live in a monetary economy, but I look down my nose at it. Besides I make money on money, examining its nature, trying to explain why there is an obsession with it, for example speculation, getting rich at any cost, and the tragic consequences to which it can lead. The greatest sin of economists: Lack of humility, which manifests itself in unceremo- niously proclaiming one’s truths as the only correct truth. Some economists forget that economics is primarily a social science. This provokes the demons, the cult of money, greed, fraud, speculation, and so on. There is no day for me without: reading a few pages of literature. Success for me is: something completely normal, as is defeat. You cannot enjoy success without feeling the taste of defeat. People do not know that: I am a mild man, cultured, and I do not recall having hurt anyone in my long-standing academic practice. I do not know why my students are afraid of me. I’m a boss who: is demanding, of both himself and others. I hate disloyal employees, and those who wriggle prevaricate and twist to attain their own aims. If possible, I quickly part ways with them (including firing them if permissible).

62 I Bulletin PTE No. 1 (72) 2016 Polish Economic Society

I could hire: a professional, but one who is loyal. There is nothing worse in the work environment than dodgers who think they are cunning. However, a man with an average dose of intelligence will quickly recognize them. I would not hire: someone who can pose a threat to the team in which he is supposed to work. I was not always able to look deep enough into the eyes of candidates and later it sometimes came back to haunt me. Competition: has its positive effects, but it should not take an extreme form, which leads to an aberration. Sometimes you need to “let it go” to gather strength for the next challenge. I spend holidays: traditionally; a little rest, a little work. I do my best scientific work precisely when I’m on holidays. What irritates me: The great ideas of ministers who, when asked about the sources of financing, reply: “The money will be found.” This is a lack of professiona- lism and disregard of the opinion of the economic milieu. What drives me mad: The sloppiness in creating laws in our country. Lying, cheating, empty words, verbosity, lofty slogans, and the prevarication of politicians abound. I never deny myself:... work, but also jokes, without which life would be unbe- arable. The Internet is: above all, the source of information, and sometimes an enterta- inment. On the internet you can find a lot of music to write scientific or popular texts by. I’m reading: classical literature - perverse, allusive, magical (e.g., Kurt Vonnegut, Woody Allen, Milan Kundera, and Mikhail Bulgakov). Also classical and modern philosophers. I watch: documentary films about World War II. It is still difficult to understand how this apocalypse occurred, and role economics played in it. I also watch nature films, for example David Attenborough’s, and also Monty Python, Cabaret of Old Men, BBC, or the underestimated Deutsche Welle. Favourite gadget: car keys If I was not who I am, I would be: a breeder of... financial sharks. If it was up to me: I would abolish university elections in their current form. They are attended by a huge number of electors, including the over-representa- tion of students, whose voices are gained by the promises of benefits and who are often decisive in electing the Rector or Dean. The strangest thing I have, is: old watches, based on traditional mechanical movements.

Bulletin PTE No. 1 (72) 2016 I 63 Addresses and Presidents of Branches PTE

Polish Economic Society Polish Economic Society Polish Economic Society Branch in Białystok Branch in Koszalin Branch in Radom President prof. Adam Sadowski President mgr Jadwiga Topolan President prof. Jan L. Bednarczyk ul. Warszawska 63, 15-062 Białystok ul. Franciszkańska 52, 75-254 Koszalin WNEiP Uniwersytet Technologiczno- phone: +48 85 745 77 06 phone: +48 94 343 33 33 -Humanistyczny w Radomiu, e-mail: [email protected] e-mail: [email protected] ul. Chrobrego 31, 26-600 Radom X X phone +48 48 36174 00 Polish Economic Society Polish Economic Society e-mail: [email protected] Branch in Bielsko-Biała Branch in Kraków X President dr Ludwik Hejny President prof. Andrzej Prusek Polish Economic Society ul. Willowa 2, 43-309 Bielsko-Biała ul. Rakowicka 20 A, 31-510 Kraków Branch in Rzeszów phone: +48 33 827 93 54 mobile: +48 536 711 536 President dr Krzysztof Kaszuba e-mail: [email protected] e-mail: [email protected] ul. Hetmańska 21 C, 35-045 Rzeszów X X phone: +48 17 853 36 49 Polish Economic Society Polish Economic Society e-mail: [email protected] Branch in Bydgoszcz Branch in Legnica X President mgr Grzegorz Grześkiewicz President mgr Nadine Bednarz Polish Economic Society ul. Długa 34, 85-034 Bydgoszcz ul. Senatorska 32, 59-220 Legnica Branch in Szczecin phone: +48 52 322 90 60 mobile: +48 606 979 426 President prof. Aleksander Panasiuk e-mail: [email protected] e-mail: [email protected] ul. Cukrowa 8, 71–004 Szczecin phone: +48 91 444 31 64 Polish XEconomic Society Polish XEconomic Society e-mail: [email protected] Branch in Częstochowa Branch in Lublin PolishX Economic Society President dr inż. Mariusz Chudzicki President prof. inż. Artur Paździor Branch in Toruń ul. Kilińskiego 32/34, 42-200 Częstochowa ul. Bursaki 12, 20-150 Lublin President dr Adam Balcerzak phone: +48 34 324 97 33 phone: +48 81 452 94 10 ul. Kopernika 21, 87-100 Toruń e-mail: [email protected] e-mail: [email protected] mobile: +48 793 370 619 Polish XEconomic Society Polish XEconomic Society e-mail: [email protected] Branch in Gdańsk Branch in Łódź PolishX Economic Society President prof. Danuta Rucińska President dr Jarosław Marczak Branch in Wałbrzych ul. Długi Targ 46/47, 80-830 Gdańsk ul. Wólczańska 51, 90-608 Łódź President mgr Adam Janusz phone: +48 58 301 54 61 phone: +48 42 632 44 20 ul. P. Wysockiego 10, 58-300 Wałbrzych e-mail: [email protected] e-mail: [email protected] phone: + 48 74 842 62 60 Polish XEconomic Society Polish XEconomic Society e-mail:[email protected] Branch in Gliwice Branch in Olsztyn PolishX Economic Society President dr Franciszek Grzesiok President mgr Jerzy Kawa Branch in Warszawa ul. Zwycięstwa 47, 44-100 Gliwice ul. 1 Maja 13, 10-117 Olsztyn President dr Agnieszka Domańska phone: +48 32 331 30 82 phone: +48 89 527 58 25 ul. Nowy Świat 49, 00-042 Warszawa e-mail: [email protected] e-mail: [email protected] e-mail: [email protected] Polish XEconomic Society Polish XEconomic Society PolishX Economic Society Branch in Katowice Branch in Opole Branch in Wrocław President prof. Aldona President prof. Zbigniew Mikołajewicz President p.o. prof. Bożena Klimczak Frączkiewicz-Wronka Uniwersytet Opolski ul. Łaciarska 28, 50-156 Wrocław ul. Bogucicka 3 D/2, 40-226 Katowice ul. Ozimska 46 A, 45-082 Opole phone: +48 71 782 11 19 phone: +48 32 259 88 78 phone: +48 77 401 69 01 e-mail: [email protected] e-mail: [email protected] e-mail: [email protected] PolishX Economic Society Polish XEconomic Society Polish XEconomic Society Branch in Zielona Góra Branch in Kielce Branch in Poznań President prof. Bogdan Ślusarz President prof. Andrzej Szplit President prof. Ryszard Kamiński ul. Żeromskiego 3 skr. 165 ul. Świętokrzyska 21, 25-406 Kielce ul. Klasztorna 24/25, 61-779 Poznań 65-066 Zielona Góra phone: +48 41 349 65 28 phone: +48 61 852 86 91 phone: +48 68 320 25 89 e-mail: [email protected] e-mail: [email protected] e-mail: [email protected] 64 I Bulletin PTE No. 1 (72) 2016