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ISET Economist Blog

A blog about economics in the South Caucasus financed within the institutional grant by the Government of Sweden.
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  • Tinatin Akhvlediani
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  • Rati Porchkhidze
  • Gocha Kardava
  • Lasha Labadze
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  • Mariam Katsadze
  • Ana Burduli
  • Davit Keshelava
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  • Elene Seturidze
  • Tamta Maridashvili
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Date From
Date To
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06 February 2014
Olga Azhgibetseva
Looking Over the Border: Immigration to Azerbaijan
For some years, Azerbaijan experiences an immigration wave. Chart 1 shows the net immigration (immigration minus emigration) to Azerbaijan during the last 22 years. As can be seen, every year since 2008 more people are immigrating to Azerbaijan than there are emigrating. In 2012, for instance, 2000 net migrants came to Azerbaijan.
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03 February 2014
Florian Biermann, Giorgi Tsutskiridze
The Lari Depreciation
The value of a currency, measured in terms of other currencies, has consequences for the real economy. A more expensive lari, for example, makes it more profitable to import goods into Georgia. The importer has to pay the foreign goods with foreign currency, and when the lari is more valuable, fewer lari is needed to pay for them.
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31 January 2014
Florian Biermann, Irakli Galdava
The Fight of the Century
Fight of the Century? Well, that was Joe Frazier against Muhammad Ali, New York 1971, right? Wrong! For an economist, the Fight of the Century refers to the intellectual debate between the illustrious economists, John Maynard Keynes (1883-1946) and Friedrich August Hayek (1899-1992). A battle at least as hot as the boxing fight, if not even much hotter!
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26 January 2014
Nino Abashidze
Towards a More Equitable Georgia
Last week I discussed the economic consequences of inequality. Contrary to a traditional tenet of economics, empirical research has shown that inequality may have adverse economic consequences. Inequality increases the risk of political instability in a country, posing a threat to investments due to the fact that political unrest is highly detrimental to the profits made from any economic activity.
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24 January 2014
Ia Vardishvili
The Washington Consensus and Georgia
Economics Nobel Prize winner Joseph Stiglitz, well-known for sharply criticizing the conventional wisdom of development economics, once summed up his views in a rhetorical question: “We have felt the pain, when do we get the gain?”
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20 January 2014
Nino Abashidze
Beyond Fairness and Envy: The Economic Effects of Income Inequality
Why should we care about income inequality? According to Nobel Prize laureate Joseph Stiglitz and Harvard economist Jason Furman, “greater inequality leads to more political instability, and greater political instability leads to lower growth” (“Economic Consequences of Income Inequality”, Federal Reserve Bank of Kansas: Journal Proceedings, 1998, pp. 221-232).
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