ISET Economist Blog

A blog about economics in the South Caucasus.
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The Paths Towards Inclusive Economic Growth in Georgia
The Georgian government is currently working on the draft of a new Code on Spatial Planning and Construction, with the aim of increasing the safety of new constructions while consolidating the great achievements obtained in terms of effectiveness in the delivery of construction permits. One of the main changes that is likely to be introduced in the new Code – in line with the best practices at the international level1 – is the regulation of the qualification requirements for building designers. The current government believes that the time has come to increase the safety standards and to regulate the access to the profession of building designer.
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Food Prices are on Fire
The ISET Policy Institute (ISET-PI) was commissioned by the World Bank to assist the Social Service Agency (SSA) of Georgia, an agency of the Ministry of Labor, Health, and Social Affairs (MoLHSA), in setting up a system for providing job seekers with vocational and educational training (VET). The project had two specific goals. The first and primary goal was to develop a methodology for identifying those qualifications offered by VET institutions that should be included in the VET system of SSA. For demonstrative purposes, the developed methodology was then to be applied to the programs offered by VET institutions in the four pilot municipalities of Gori, Rustavi, Kutaisi, and Batumi.
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Has Georgia Solved its “Missing Girls” Problem?
This project aims to support the development of business-oriented small farmer groups (e.g., agricultural cooperatives) with the goals of increasing agricultural productivity and reducing rural poverty in Georgia. Many households across Georgia are engaged in agricultural pursuits. In most cases, these households are producing at a subsistence or semi-subsistence level, with limited connections to the market. The movement to support the development of business-oriented farmer groups (e.g., agricultural cooperatives) is considered to be one way to help farming households achieve higher incomes and productivity levels.
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The Role of Circular Labor Migration in Reducing Unemployment: How Ambitious Should it Be?
The purpose of this report is to take stock of the existing regionally disaggregated data and to identify disparities between the regions of Georgia. Few similar studies exist, with the major exceptions being the Diagnostic Report by the Task Force for Regional Development in Georgia (2009) and the Georgia Urbanization Review by the World Bank (2013). This report thus fills a gap, attempting to inform both future research and the formulation of regional policy. The analysis in this report is mainly building on Geostat statistics, in particular the Integrated Household Survey, the Millennium Challenge Corporation Survey, and the Village Infrastructure Census. While in principle this allows for a detailed analysis of regional disparities, this is limited by issues with the data. Two issues are of importance. First, with the last census dating back to 2002, the reliability and quality of the current survey data is potentially compromised. Second, large and systematic data gaps exist for infrastructure, environmental issues, and cultural and recreational resources. It should also be noted that most surveys for any observation only indicate the region, but not the municipality. Thus any analysis is restricted to be along existing regional boundaries.
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The Georgian Tax Lottery Experiment after Seven Years
In the context of the European Neighbourhood Policy, the EU and Georgia are in the process of negotiating an Association Agreement (AA) to replace the current Partnership and Co-operation Agreement (PCA). A Deep and Comprehensive Free Trade Agreement (DCFTA), underpinned by regulatory approximation, will be part of this AA. This study supports the negotiation process by analysing how the trade and trade-related provisions of the DCFTA will affect economic, social and environmental developments in the EU and in Georgia. The main objective of this Trade Sustainability Impact Assessment (TSIA) is to assess the potential economic, social, environmental and human rights impacts of a Deep and Comprehensive Free Trade Agreement (DCFTA) to be negotiated between the EU and Georgia. This TSIA combines quantitative and qualitative research, in line with the general methodology designed for TSIAs by DG Trade. This methodology covers the following elements: screening and scoping analysis, scenario analysis and quantitative modelling, additional quantitative and qualitative social, human rights and environmental impact analysis, causal chain analysis and sectoral analysis.
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Inclusive and Sustainable Development of The Mountainous Regions: Myth or Reality?
The aim of the report is to summarize main findings from the interviews conducted by AYPEG and provide suggestions and recommendations for the research and training needs in the Georgian energy sector. Report also includes individual interview summaries (40 in total) as an appendix that enables to identify each organizations opinion on the research and training needs. The aim of the project was to assess the main research objectives and training needs in the Georgian energy sector. Energy sector appears one of the most promising sectors in Georgia and especially hydro power which is one of the main resources of the country. On the other hand, more than 80% of the energy resource remains unutilized. Consequently, now when Georgia is paving its own way of economic development, it is crucial to determine main research questions and access training needs. This will help to allocate intellectual/financial resources where it is mostly required and help the sector to exploit country’s energy potential.