Describe Reasons for Outstanding Performance of Polish Economy During Crisis (Gfc) and Try to Compare It with German or Ireland
Anna Kwaśniewska 30 HZ SSL MSG
Describe reasons for outstanding performance of Polish economy during crisis (GFC) and try to compare it with German or Ireland (6 points)
The year that has elapsed since the collapse of Lehman Brothers was difficult - no doubt the toughest in decades - a test for the global economy and global finance. Extremely strong scale of the crisis meant that generally were put questions not only about whether the stock market boom processes economic, but the grounds upon which the development of modern market economy and financial. Polish financial market without a doubt, this seems difficult test better than others. While globalization has resulted in that we are not an island cut off from the world and the problems of other countries have their repercussions in our country, Poland stands out on the world map and Europe's relatively mild crisis.
The fact that Poland better than the other countries of Europe can afford the crisis is caused by number of reasons.
Firstly, the country still uses its high level of competitiveness as placement of production. On the one hand, Polish producers have unrestricted access to the entire EU market, on the other hand production costs much lower than Western Europe for example in Germany. In times of boom that resulted by large inflows of investment into Polish. Today, although the pace of new investment has declined, the relocation process is still taking place. Large companies increasingly prefer to reduce production in the old EU countries, where it is more expensive and less profitable than in Poland.
Secondly, in comparison with other countries in our region (which could also count on its high competitiveness), our country has a powerful asset in the form of a large internal market. This means that the Polish economy is less dependent on exports than for example Czech and Slovak economy, and still growing domestic consumption is able to largely offset the decline in exports.
Describe reasons for outstanding performance of Polish economy during crisis (GFC) and try to compare it with German or Ireland (6 points)
The year that has elapsed since the collapse of Lehman Brothers was difficult - no doubt the toughest in decades - a test for the global economy and global finance. Extremely strong scale of the crisis meant that generally were put questions not only about whether the stock market boom processes economic, but the grounds upon which the development of modern market economy and financial. Polish financial market without a doubt, this seems difficult test better than others. While globalization has resulted in that we are not an island cut off from the world and the problems of other countries have their repercussions in our country, Poland stands out on the world map and Europe's relatively mild crisis.
The fact that Poland better than the other countries of Europe can afford the crisis is caused by number of reasons.
Firstly, the country still uses its high level of competitiveness as placement of production. On the one hand, Polish producers have unrestricted access to the entire EU market, on the other hand production costs much lower than Western Europe for example in Germany. In times of boom that resulted by large inflows of investment into Polish. Today, although the pace of new investment has declined, the relocation process is still taking place. Large companies increasingly prefer to reduce production in the old EU countries, where it is more expensive and less profitable than in Poland.
Secondly, in comparison with other countries in our region (which could also count on its high competitiveness), our country has a powerful asset in the form of a large internal market. This means that the Polish economy is less dependent on exports than for example Czech and Slovak economy, and still growing domestic consumption is able to largely offset the decline in exports.