EKONOMISTI
The international scientific and analytical, reviewed, printing and electronic journal of Paata Gugushvili Institute of Economics of Ivane Javakhishvili Tbilisi State University

DOI: 10.36172/EKONOMISTI

E ISSN 2346-8432
Print ISSN 1987-6890

Journal number 2 ∘ Ramaz Abesadze ∘

Globalization and the economic problems of the pandemic

DOI: 10.36172/EKONOMISTI.2020.XVI.02.ABESADZE Annotation In the current year,the world was engulfed in a pandemic of corona virus. Countries were forced to introduce anti-virus bans, which led the national economies and the world’s global economy to a rather deep recession. The article examines the economic problems of the pandemic in the context of globalization. The article reveals the nature of the pandemic shock on the contemporary economy and the possibilities for overcoming of this issue. Keywords: pandemic, coronavirus pandemic, pandemic shock of the economy, recession of the economy, innovative development. Introduction The mankind remembers a number of pandemic that led to tremendous losses for human society, both in terms of human casualties and huge economic losses. It has always been the case that there was no vaccine against the virus or no cure for the disease. We are dealing with the same situation today. In December 2019, a new coronav

Journal number 2 ∘ Alfred Kuratashvili ∘

SOCIALISM WITH CHINESE SPECIFICITY – IT IS NOT CAPITALISM AND NOT MARXISM-LENINISM, BUT A CREATIVE DEVELOPMENT OF STALIN’S ADMINISTRATIVE SOCIALISM

DOI: 10.36172/EKONOMISTI.2020.XVI.02.KURATASHVILI Expanded Summary The scientific work examines in a fundamentally new way Socialism with Chinese specificity, which, according to the scientifically substantiated statement of the author, is not only no not capitalism, as erroneously seems (or may seem) to some representatives of science and politics, traditionally not understanding the true essence of capitalism, but it is not also the implementation of Marxism-Leninism in practice, because Marxism-Leninism, again according to the scientifically substantiated statement of the author, is a clear utopia. In particular, the existence and active use of private property, the market, commodity-money relations in the People's Republic of China, for some representatives of science and politics who mistakenly understand the true essence of capitalism, it seems that the capitalist system is functioning in China, since the presence in the state of private property, the market

Journal number 2 ∘ Vakhtang Burduli ∘

THE ESSENCE OF THE KNOWLEDGE ECONOMY AND ITS PLACE IN THE SYSTEM OF MODERN ECNOMIES

DOI: 10.36172/EKONOMISTI.2020.XVI.02.BURDULI Summary This article discusses the development of the concept of “knowledge economy” and the totality of its infrastructure components. Based on a comparison of the components of the infrastructures of the “innovation economy” and “knowledge economy”, the degree of interoperability of these concepts is established. The content of the “education” component of the knowledge economy and the content of the components of “intellectual capital”, “information sector” and “network structures”, which are both part of the infrastructure of the knowledge economy and the infrastructure of the innovation economy, are considered. Keywords: knowledge economy, innovation economy, infrastructure components of the knowledge economy, education, intellectual capital (human capital, organizational capital, relationship capital), the information sector of the

Journal number 2 ∘ Paata Koguashvili ∘ Badri Ramishvili ∘

Assessment of the optimal quantity and structure of meat consumption in Georgia

DOI: 10.36172/EKONOMISTI.2020.XVI.02.KOGUASHVILI.RAMISHVILI Expanded Summary The rapid growth of meat production and consumption in recent decades is driven by astonishing improvements in economic and social situation of most countries of the world. For example, in 1961, one inhabitant of the world consumed an average of about 20 kg of meat, and almost 36 kg by 2018. Over the same period, the GDP per capita has increased about 4 times.This link between social wealth and meat consumption, in turn, is due to the fact that animal products, especially meat and meat products, have a high value, and can be affordable mostly forthe financially established population. However, if we undertake a planetary analysis of meat consumption, we will see that there are several exceptions in this respect, which is due to the local alimentary culture, ethno-religiousissues, specific conditions of meat production and other factors. For example, the so-called lacto-vegetarian and lacto-ovo-v

Journal number 2 ∘ Lia Totladze ∘

The Impact of Government Expenditure on Education and R&D as Factor of Homan Capital on Economic Growth

DOI: 10.36172/EKONOMISTI.2020.XVI.02.TOTLADZE Abstract The Strategies of many countries are focused on the area of growth such as sustainable and inclusive growth. These goals could be realized with a good education and training system a creative industries and a great effort to create a research-intensive economy. This couldn’t be achieved without major contribution of human capital. This research aims study how the factors of human capital impact on economic growth. Studying contribution of human capital to economic growth, the main methodological problems is to choose the correct measure of human capital. Therefore we analyze three approaches for human capital measurement. We highlights channel through witch human capital influence on economic growth. The paper tried to reveal the role of government expenditure in education and R&D as a factors of the growth human capital in Georgia. We have used

Journal number 2 ∘ Medea Melashvili ∘ Ketevan Kveladze ∘ Nunu Kistauri ∘

Peculiarities of education in the EU and some of its countries

DOI: 10.36172/EKONOMISTI.2020.XVI.02.MELASHVILI.KVELADZE.KISTAURI Expanded Summary Since the 1990s, the term "knowledge economy" has been widely used in Western economics by Austrian-American scientist Fritz Mahlup in 1962, who believed that natural material resources remain the basis for economic prosperity but the growth of the entire agricultural system and its development is provided not so much by external, but rather by internal, intangible factors, the most important of which is knowledge, that the main factor in the formation and development of the knowledge economy is human capital. According to UN experts, the knowledge economy is an economy where knowledge is created, disseminated and used to increase the country's international competitiveness. The existence and development of a knowledge economy can only be achieved in a society where science, as a key component, affects almost every field of economics, and the creation and use of scientific knowledge

Journal number 2 ∘ Manana kharkheli ∘ Giorgi Miqeladze ∘

Main Sources of Time Saving

DOI: 10.36172/EKONOMISTI.2020.XVI.02.KHARKHELI.MIQELADZE Expanded Summary The article discusses the main sources of time savings. People perceive the flow of time differently. For some it runs fast, for some it is very slow. However, in fact, time passes as it should. The only resource people have equally is time. successful people are those, who are able to use time effectively, or in other words, who can in one day do more tasks than others can. The manager is a member of group. He/she is in charge of not only himself/herself but the entire collective. However, each team member and manager have equal time opportunities, the difference is that the staff member are responsible only on their own time, and manager manages - both personal and team members time. Working conditions in the organization and Work–life balance has significant impact on the employee's job performance. It is necessary to improve working conditions in the workplace, for whi

Journal number 2 ∘ Teona Makalatia ∘

Evolution or Revolution in Accounting and Audit

DOI: 10.36172/EKONOMISTI.2020.XVI.02.MAKALATIA Summary The purpose of this article is to discuss the opportunity for accounting and auditing in new era of technology. Technology achievements and their impact on accounting and auditing. If it’s possible to increase the current maximal level of assurance, which is reasonable assurance with much higher level. Keywords: Accounting, Accounting Data, Audit Data, Auditing, Bookkeeping, Double Entry, Going Concern, Record Keeping, Triple Entry, Assurance, Blockchain, Smart Contracts. JEL Codes: M40, M41, M42 1. Double Entry Data storage technology has been of paramount importance at every stage of human history. Financial accounting is also one of the forms of recording, storing and presenting reports. Accounting has undergone a great evolution before it has reached the present day of theory and practice. Modern financial accounting is based on a Double-entry system. During the Renaissance, this s

Journal number 2 ∘ Giga Kikoria ∘

The role of mortgage loans in the development of the housing market in Tbilisi

DOI: 10.36172/EKONOMISTI.2020.XVI.02.KIKORIA Expanded Summary Over the last decades, the real estate market, especially the housing market, has been a subject of constant debate throughout the world and in Georgia as well. Recent crises are related to the real estate market and low liquidity loans. Consequently, the necessity and interest of its scientific study is increasing day by day. Homebuilding is a lucrative business as there is a steady demand for people to own their own home, ensuring their safety, independence and privacy. This, in turn, creates fierce competition among construction companies to attract large numbers of buyers who will invest in their projects. However, the purchase of non-existent flats is at great risk if the construction of these flats depends on the good will of people who are inclined to use illegal schemes for their own interests. In Georgia, housing market research is not favorable unless we look at recent TBC Capital and Colliers Internatio

EKONOMISTI The international scientific and analytical, reviewed, printing and electronic journal of Paata Gugushvili Institute of Economics of Ivane Javakhishvili Tbilisi State University

DOI: 10.36172/EKONOMISTI E ISSN 2346-8432 Print ISSN 1987-6890	Journal number 2 ∘ Ramaz Abesadze ∘ Globalization and the economic problems of the pandemic DOI: 10.36172/EKONOMISTI.2020.XVI.02.ABESADZE Annotation In the current year,the world was engulfed in a pandemic of corona virus. Countries were forced to introduce anti-virus bans, which led the national economies and the world’s global economy to a rather deep recession. The article examines the economic problems of the pandemic in the context of globalization. The article reveals the nature of the pandemic shock on the contemporary economy and the possibilities for overcoming of this issue. Keywords: pandemic, coronavirus pandemic, pandemic shock of the economy, recession of the economy, innovative development. Introduction The mankind remembers a number of pandemic that led to tremendous losses for human society, both in terms of human casualties and huge economic losses. It has always been the case that there was no vaccine against the virus or no cure for the disease. We are dealing with the same situation today. In December 2019, a new coronav Journal number 2 ∘ Alfred Kuratashvili ∘ SOCIALISM WITH CHINESE SPECIFICITY – IT IS NOT CAPITALISM AND NOT MARXISM-LENINISM, BUT A CREATIVE DEVELOPMENT OF STALIN’S ADMINISTRATIVE SOCIALISM DOI: 10.36172/EKONOMISTI.2020.XVI.02.KURATASHVILI Expanded Summary The scientific work examines in a fundamentally new way Socialism with Chinese specificity, which, according to the scientifically substantiated statement of the author, is not only no not capitalism, as erroneously seems (or may seem) to some representatives of science and politics, traditionally not understanding the true essence of capitalism, but it is not also the implementation of Marxism-Leninism in practice, because Marxism-Leninism, again according to the scientifically substantiated statement of the author, is a clear utopia. In particular, the existence and active use of private property, the market, commodity-money relations in the People's Republic of China, for some representatives of science and politics who mistakenly understand the true essence of capitalism, it seems that the capitalist system is functioning in China, since the presence in the state of private property, the market Journal number 2 ∘ Vakhtang Burduli ∘ THE ESSENCE OF THE KNOWLEDGE ECONOMY AND ITS PLACE IN THE SYSTEM OF MODERN ECNOMIES DOI: 10.36172/EKONOMISTI.2020.XVI.02.BURDULI Summary This article discusses the development of the concept of “knowledge economy” and the totality of its infrastructure components. Based on a comparison of the components of the infrastructures of the “innovation economy” and “knowledge economy”, the degree of interoperability of these concepts is established. The content of the “education” component of the knowledge economy and the content of the components of “intellectual capital”, “information sector” and “network structures”, which are both part of the infrastructure of the knowledge economy and the infrastructure of the innovation economy, are considered. Keywords: knowledge economy, innovation economy, infrastructure components of the knowledge economy, education, intellectual capital (human capital, organizational capital, relationship capital), the information sector of the Journal number 2 ∘ Paata Koguashvili ∘ Badri Ramishvili ∘ Assessment of the optimal quantity and structure of meat consumption in Georgia DOI: 10.36172/EKONOMISTI.2020.XVI.02.KOGUASHVILI.RAMISHVILI Expanded Summary The rapid growth of meat production and consumption in recent decades is driven by astonishing improvements in economic and social situation of most countries of the world. For example, in 1961, one inhabitant of the world consumed an average of about 20 kg of meat, and almost 36 kg by 2018. Over the same period, the GDP per capita has increased about 4 times.This link between social wealth and meat consumption, in turn, is due to the fact that animal products, especially meat and meat products, have a high value, and can be affordable mostly forthe financially established population. However, if we undertake a planetary analysis of meat consumption, we will see that there are several exceptions in this respect, which is due to the local alimentary culture, ethno-religiousissues, specific conditions of meat production and other factors. For example, the so-called lacto-vegetarian and lacto-ovo-v Journal number 2 ∘ Lia Totladze ∘ The Impact of Government Expenditure on Education and R&D as Factor of Homan Capital on Economic Growth DOI: 10.36172/EKONOMISTI.2020.XVI.02.TOTLADZE Abstract The Strategies of many countries are focused on the area of growth such as sustainable and inclusive growth. These goals could be realized with a good education and training system a creative industries and a great effort to create a research-intensive economy. This couldn’t be achieved without major contribution of human capital. This research aims study how the factors of human capital impact on economic growth. Studying contribution of human capital to economic growth, the main methodological problems is to choose the correct measure of human capital. Therefore we analyze three approaches for human capital measurement. We highlights channel through witch human capital influence on economic growth. The paper tried to reveal the role of government expenditure in education and R&D as a factors of the growth human capital in Georgia. We have used Journal number 2 ∘ Medea Melashvili ∘ Ketevan Kveladze ∘ Nunu Kistauri ∘ Peculiarities of education in the EU and some of its countries DOI: 10.36172/EKONOMISTI.2020.XVI.02.MELASHVILI.KVELADZE.KISTAURI Expanded Summary Since the 1990s, the term "knowledge economy" has been widely used in Western economics by Austrian-American scientist Fritz Mahlup in 1962, who believed that natural material resources remain the basis for economic prosperity but the growth of the entire agricultural system and its development is provided not so much by external, but rather by internal, intangible factors, the most important of which is knowledge, that the main factor in the formation and development of the knowledge economy is human capital. According to UN experts, the knowledge economy is an economy where knowledge is created, disseminated and used to increase the country's international competitiveness. The existence and development of a knowledge economy can only be achieved in a society where science, as a key component, affects almost every field of economics, and the creation and use of scientific knowledge Journal number 2 ∘ Manana kharkheli ∘ Giorgi Miqeladze ∘ Main Sources of Time Saving DOI: 10.36172/EKONOMISTI.2020.XVI.02.KHARKHELI.MIQELADZE Expanded Summary The article discusses the main sources of time savings. People perceive the flow of time differently. For some it runs fast, for some it is very slow. However, in fact, time passes as it should. The only resource people have equally is time. successful people are those, who are able to use time effectively, or in other words, who can in one day do more tasks than others can. The manager is a member of group. He/she is in charge of not only himself/herself but the entire collective. However, each team member and manager have equal time opportunities, the difference is that the staff member are responsible only on their own time, and manager manages - both personal and team members time. Working conditions in the organization and Work–life balance has significant impact on the employee's job performance. It is necessary to improve working conditions in the workplace, for whi Journal number 2 ∘ Teona Makalatia ∘ Evolution or Revolution in Accounting and Audit DOI: 10.36172/EKONOMISTI.2020.XVI.02.MAKALATIA Summary The purpose of this article is to discuss the opportunity for accounting and auditing in new era of technology. Technology achievements and their impact on accounting and auditing. If it’s possible to increase the current maximal level of assurance, which is reasonable assurance with much higher level. Keywords: Accounting, Accounting Data, Audit Data, Auditing, Bookkeeping, Double Entry, Going Concern, Record Keeping, Triple Entry, Assurance, Blockchain, Smart Contracts. JEL Codes: M40, M41, M42 1. Double Entry Data storage technology has been of paramount importance at every stage of human history. Financial accounting is also one of the forms of recording, storing and presenting reports. Accounting has undergone a great evolution before it has reached the present day of theory and practice. Modern financial accounting is based on a Double-entry system. During the Renaissance, this s Journal number 2 ∘ Giga Kikoria ∘ The role of mortgage loans in the development of the housing market in Tbilisi DOI: 10.36172/EKONOMISTI.2020.XVI.02.KIKORIA Expanded Summary Over the last decades, the real estate market, especially the housing market, has been a subject of constant debate throughout the world and in Georgia as well. Recent crises are related to the real estate market and low liquidity loans. Consequently, the necessity and interest of its scientific study is increasing day by day. Homebuilding is a lucrative business as there is a steady demand for people to own their own home, ensuring their safety, independence and privacy. This, in turn, creates fierce competition among construction companies to attract large numbers of buyers who will invest in their projects. However, the purchase of non-existent flats is at great risk if the construction of these flats depends on the good will of people who are inclined to use illegal schemes for their own interests. In Georgia, housing market research is not favorable unless we look at recent TBC Capital and Colliers Internatio