BALTIC JOURNAL OF EUROPEAN STUDIes ISSN 2228-0588 Vol 2, No 1 (11) June 2012 Foreword (by András Inotai and Aksel Kirch) ................................................................... 3 Notes on contributors .......................................................................................................... 4 ARTICLES Alari Purju. Euro Crisis, Old and New Trilemmas and Estonia’s position ......................... 7 Rünno Lumiste. How Expensive Is It to Support Renewable Energy in Estonia? ........... 26 Gabriel Hazak. European Union—A Federation or a Confederation? ............................. 43 Lehte Roots. European Union Citizenship or Status of Long-Term Resident: A Dilemma for Third-Country Nationals in Estonia .................................................... 65 David Ramiro Troitiño and Archil Chochia. Georgia and the European Union from the Mediterranean Perspective ............................................................................. 81 Leon Miller, Elena Matveeva and Natalia Nekrassova. The Internationalization of Estonian Higher Education: How the Estonian Cultural Context Impacts the Experience of Foreign Students ............................................................................103 Inese Šūpule. The Construction of National and Ethnic Identity in Online Discussions on Referenda Initiatives in Latvia ...........................................................119 ACADEMIC LIFE: Professor Ülo Ennuste, DSc – 80 Ülo Ennuste. Waiting for the Commission-Strengthened Governance Coordination Leviathans: A Discourse Memo to the Actors in the Macro-Game ‘European Semester’ ....................................................................................................................138 Baltic Journal of European Studies 1 Tallinn University of Technology (ISSN 2228-0588), Vol. 2, No. 1 (11) 2 Baltic Journal of European Studies Tallinn University of Technology (ISSN 2228-0588), Vol. 2, No. 1 (11) Foreword The publication you are currently reading is the third issue of the Baltic Journal of European Studies (BJES), the direct successor of the peer-reviewed journal Proceedings of the Institute for European Studies, the Journal of Tallinn University of Technology (IES Proceedings), published by the Department of International Relations of the Tallinn University of Technology. The essential significance of the articles published in this spring issue of BJES lies in a new perspective given to the key issues in the field of economic policy of the European Union, as well as of Estonia as a Member State. This volume offers challenging studies on perspectives of the EU economy by Alari Purju and Rünno Lumiste. Gabriel Hazak presents an article about the EU’s legal status, and Lehte Roots discusses aspects of citizenship. Several papers of the volume address legal ethnic and cultural identity aspects highlighted by case studies on Georgia, Latvia and Estonia. Last but not least, we incorporated into the current journal issue a special section to celebrate a significant milestone in the academic life of Estonian scientists— the 80th birthday of Dr Ülo Ennuste this spring. Professor Ülo Ennuste, DSc is one of the leading economic scientists in Estonia and has been successfully working at the Tallinn Institute of Economics of the Estonian Academy of Sciences and at the Tallinn Technical University. He has authored and co-authored 15 books and more than 160 research articles of wide acclaim. Professor Ennuste is an outstanding man whose personal contacts in the international arena and widespread cooperation have strongly contributed to the dissemination of economic science in Estonia. Dr Ennuste’s current article in BJES enriches the Estonian economic science with a discussion about resources on macroeconomic knowledge in order to facilitate the ‘European Semester’ processes. Its main message is that the quality of the agents’ knowledge structures may play the basic role and importance in reaching effective equilibrium. We hope that the readers of the journal’s spring issue will find it both informative and full of fresh ideas that are expected to have a positive impact on their way of thinking and cooperation in the European Union. András Inotai and Aksel Kirch, Editors of the spring issue Baltic Journal of European Studies 3 Tallinn University of Technology (ISSN 2228-0588), Vol. 2, No. 1 (11) Notes on Contributors Archil Chochia is doctoral student at the Tallinn University of Technology (TUT) since 2008. He has been teaching Political Geography and Social Policy in the European Union at the Institute of International Relations and European Studies, TUT. He graduated from the Tbilisi Medical Academy in Georgia in 2001 and from the Tbilisi State Medical University in 2006. He is one of the founders of non-governmental organization Academy for Peace and Development, in Tbilisi, Georgia. Currently he works at the Tallinn Law School, TUT. Professor Ülo Ennuste, DSc has successfully worked at the Tallinn Institute of Economics of the Estonian Academy of Sciences, at the Tallinn University of Technology (TUT) and the International University Audentes (IUA). In 2007, Ülo Ennuste was conferred the degree of Honorary Doctorate in the field of international economics by the International University Audentes. Since 2008, Ülo Ennuste has served as member of the Editorial Board of the Baltic Journal of European Studies [BJES, former Proceedings of the Institute for European Studies (IES Proceedings)]. His main fields of interest have been in the theory of economic systems and planning under incomplete information. His latest publications include: ‘Dual market transition in Estonia 1987–2006: Institutional mechanism analysis approach,’ Europe after historical enlargement, IES Proceedings, IUA, 2007, no. 3; ‘Synthetic Conceptions of Implementing Mechanisms Design for Public Socio-Economic Information Structure: Illustrative Estonian Examples,’ IES Proceedings, IUA, 2008, no. 4, and ‘Estonian hyper-crisis lessons confirm importance of more effective high quality coordination/regulation and harmonisation: Mechanism design theoretic approach,’ IES Proceedings, TUT, 2009, no. 6. Gabriel Hazak, PhD in Law is Docent Emeritus at the Tallinn University of Technology (TUT). He has studied political sciences, international relations, human rights and issues of the EU legal system. He has lectured on Public Speech and Debate at TUT. Hazak has published dozens of academic research articles and several monographs, including Inimõigused (‘Human Rights,’ 2002, Politoloogia (‘Politology,’ 2003), Kilde ja mõtteid: elust, ülikoolist, õigusest, poliitikast (‘Fragments and Reflections on Life, University, Law, Politics,’ 2010). Gabriel Hazak is also the founder of the Code of Ethics in academic activities at the TUT and has been the foreman of the TUT Academic Court in compositions V–VII. Rünno Lumiste, PhD is Associate Professor of the Chair of Real Estate, Logistics and Entrepreneurship at the School of Economics and Business Administration, the Tallinn University of Technology (TUT). He has worked at TUT since 2002. Before the academic career he held the position of vice-director in the Confederation of Employers and Industry and the position of Director of Department at the Ministry of Economic Affairs. His research interests are the symbiosis of engineering and business, renewable energy. He has participated in various World Bank and European Union Framework projects. Rünno Lumiste’s recent publications include the articles: ‘Interrelation between Export and Economic Growth in the Baltic States,’ in G. Prause (ed.) Baltic 4 Baltic Journal of European Studies Tallinn University of Technology (ISSN 2228-0588), Vol. 2, No. 1 (11) Business and Socio-Economic Development 2009 (with G. Fainstein & J. Matina), 2011, and ‘Foreign Entry Modes of Colombian Small and Medium Enterprises,’ The International Journal of Business and Economics Perspectives, 2010, vol. 5 (with C. Martinez & C. Piedad). Elena Matveeva, master’s degree in Psychology from the St Petersburg University in 2008, worked as Social Counseling curriculum manager at the Institute of Social Sciences from 2003 to 2011. She currently works at the Institute of Informatics and Computer Science. Her latest publication in this area is ‘Building cross-cultural competence at institutions of higher education,’ Journal of International Research Publication: Language, Individual and Society, 2010, vol. 5, pp. 4–12 (with N. Nekrassova). Leon Miller, PhD Candidate (Tallinn), is lecturer in Ethics, Comparative Religion, Intercultural Communications and International Relations at the Tallinn University of Technology. His educational background includes studies in Religion and Behavioral Science (including advanced studies in Religion in affiliation with the University of Chicago Divinity School and Cluster of Theological Schools). His teaching experience ranges from Columbia College in Chicago to Concordia International University Estonia, Audentes University (Estonia) and presently Tallinn University of Technology. His specialties include the History of Religion, The History of Culture, International Relations, Intercultural Communication and The Role of Business Ethics in Global Interdependence. He has a number of peer-reviewed publications in the areas of The Philosophy of Religion, International Relations and Business Ethics in a Globalized World. His latest publication is ‘A Deliberative Approach to a More Stable Global Arena,’ IES Proceedings, 2010, vol. 8. Natalia Nekrassova,