Regional Cooperation Striving For Competitiveness And Finance

SEE economies are faced with solving current crisis and establishing the economic system based on growth and sustainable development. A challenge for the economics has been to find metrics to gauge the extent to which society has become more dependent on knowledge production. Although there is wide recognition of the importance of knowledge and intangible capital in fostering economic growth and social change, devising useful measures of these assets has been difficult. The primary task of each SEE economy is to establish a new economic model within a new economic system, though there is a need to put theory into practice by moving sustainable development into mainstream economics where that knowledge creates relations across sectors and institutions. Developing, sustaining, and managing knowledge will also require a significant investment in education and knowledge, which indeed constitutes a new economics and development paradigm that should prevail in the global society in the time ahead. In order to achieve wealthier status by all the people of each SEE country, it is necessary to leave the current economic model and to establish a new one as a new economic paradigm. Economic growth as one part of the new economic model should account for at least 5% of GDP annually in the long term. The precondition for achieving the above-mentioned is to increase competitiveness of products that should be realized through regional cooperation. How to finance regional cooperation is, however, the next more important issue.