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Poverty and income inequality are two of the top concerns for the newly elected Georgian government. Indeed, despite impressive growth performance (annual growth rates have averaged more than 6% since 2005), Georgia remains a poor country.
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The possibility of lowering electricity and gas tariffs has become one of the top discussion topics across the country in the last few weeks.
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A few days after the beginning of the August 2008 war with Russia, I found myself on an epic journey through Kvemo Kartli and the volcanic plateau of Samtkhe-Javakheti to Turkey.
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Computable General Equilibrium (CGE) model is an analytical tool commonly used by countries and international financial institutions to simulate policy interventions. CGE applications are not limited to any particular policy area. Their usefulness is highest when the simulated policy intervention is expected to generate significant feedback effects or spillovers into sectors that may not be directly affected.
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We may recall that the Lazika city project has been proposed by the Saakashvili administration to accelerate the process of urbanization. A new city was suggested as a means of absorbing surplus rural population and thus paving the way for land consolidation and greater productivity in agriculture.