IDEAS home Printed from https://ideas.repec.org/a/taf/pocoec/v14y2002i1p109-121.html
   My bibliography  Save this article

The Economic Sustainability of Post-conflict Kosovo

Author

Listed:
  • James Korovilas

Abstract

Kosovo is currently operating as an independent economic state, having severed the majority of economic links with the former Yugoslavia. This article explains why the Yugoslav dinar was replaced by the DM (in turn replaced by the Euro) as the new national currency of post-conflict Kosovo. Use of the DM, coupled with a relatively open trade policy, has resulted in a severe visible trade deficit. The stock of DM is continuously being replenished by the inflow of money both from the various international agencies operating in Kosovo and from remittances from Kosovars working abroad. The article argues that, even with the current low level of export earnings, the economy of Kosovo is economically sustainable, since the international presence in Kosovo is partly responsible for the high demand for imports. However, in the absence of a competitive export sector, the economy is still highly reliant upon the inflow of remittances, without which Kosovo would be unable to meet the costs of vital imports.

Suggested Citation

  • James Korovilas, 2002. "The Economic Sustainability of Post-conflict Kosovo," Post-Communist Economies, Taylor & Francis Journals, vol. 14(1), pages 109-121.
  • Handle: RePEc:taf:pocoec:v:14:y:2002:i:1:p:109-121
    DOI: 10.1080/14631370120116716
    as

    Download full text from publisher

    File URL: http://www.tandfonline.com/doi/abs/10.1080/14631370120116716
    Download Restriction: Access to full text is restricted to subscribers.

    File URL: https://libkey.io/10.1080/14631370120116716?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. World Bank, 2001. "Kosovo : Economic and Social Reforms for Peace and Reconciliation," World Bank Publications - Books, The World Bank Group, number 13991.
    2. Milica Uvalic, 2001. "Regional Cooperation in Southeastern Europe," One Europe or Several? Working Papers 17, One-Europe Programme.
    3. James Korovilas, 1999. "The Albanian Economy in Transition: The Role of Remittances and Pyramid Investment Schemes," Post-Communist Economies, Taylor & Francis Journals, vol. 11(3), pages 399-415.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Nicolas Lemay-Hébert & Syed Mansoob Murshed, 2016. "Rentier Statebuilding in a Post-Conflict Economy: The Case of Kosovo," Development and Change, International Institute of Social Studies, vol. 47(3), pages 517-541, May.
    2. Teuta ISMAILI-MUHARREMI, 2015. "Factors Affecting Current Account in the Balance of Payments of Selected Western Balkan Countries," The Journal of Accounting and Management, Danubius University of Galati, issue 3, pages 61-68, December.
    3. Teuta Ismaili-Muharremi, 2015. "Approaches Affecting Current Account in the Balance of Payments," Academic Journal of Interdisciplinary Studies, Richtmann Publishing Ltd, vol. 4, December.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Kuckulenz, Anja & Buch, Claudia M., 2004. "Worker Remittances and Capital Flows to Developing Countries," ZEW Discussion Papers 04-31, ZEW - Leibniz Centre for European Economic Research.
    2. Laetitia Duval & Francois-Charles Wolff, 2010. "Remittances matter: longitudinal evidence from Albania," Post-Communist Economies, Taylor & Francis Journals, vol. 22(1), pages 73-97.
    3. Mico Apostolov & Dusko Josevski, 2016. "Aggregate Demand–Inflation Adjustment Model Applied to Southeast European Economies," Journal of Central Banking Theory and Practice, Central bank of Montenegro, vol. 5(1), pages 141-157.
    4. Brian Roberts & Malgorzata Markiewitz & Marjan Nikolov & Aleksandar Stojkov, 2008. "A Study On Determinants And Trends In Remittance Flows In Macedonia," Journal Articles, Center For Economic Analyses, pages 41-61, June.
    5. Robert Shelburne & Jose Palacin, 2007. "Remittances in the CIS: Their Economic Implications and a New Estimation Procedure," ECE Discussion Papers Series 2007_5, UNECE.
    6. Robert Shelburne & Jose Palacin, 2008. "Remittance Flows in the Transition Economies: Levels, Trends, and Determinants," ECE Discussion Papers Series 2008_5, UNECE.
    7. Buch, Claudia M. & Kuckulenz, Anja & Le Manchec, Marie-Helene, 2002. "Worker Remittances and Capital Flows," Kiel Working Papers 1130, Kiel Institute for the World Economy (IfW Kiel).
    8. Lisa Arrehag & Orjan Sjoberg & Mirja Sjoblom, 2005. "Cross-border Migration and Remittances in a post-communist society: Return flows of money and goods in the Korce district, Albania," South-Eastern Europe Journal of Economics, Association of Economic Universities of South and Eastern Europe and the Black Sea Region, vol. 3(1), pages 9-40.
    9. Mack Ott, 2003. "National Income Accounts: Measurement, Practice, and Welfare Implications of the Initial Estimates of Kosovo's GDP," Contemporary Economic Policy, Western Economic Association International, vol. 21(2), pages 186-199, April.
    10. Iris Polyzou & Stavros Nikiforos Spyrellis, 2024. "Housing Practices of Albanian Immigrants in Athens: An “in-between” Socio-Spatial Condition," Land, MDPI, vol. 13(7), pages 1-24, July.
    11. Christos Nikas & Student Anastasia Blouchoutzi, 2014. "Emigrants’ Remittances and the “Dutch Disease” in Small Transition Economies: the Case Of Albania and Moldova," Romanian Statistical Review, Romanian Statistical Review, vol. 62(1), pages 45-65, March.
    12. Çaro, Erka & van Wissen, L.J.G., 2007. "Migration in the Albania of the post-1990s: triggered by post-communist transformations and facilitator of socio-demographic changes," SEER Journal for Labour and Social Affairs in Eastern Europe, Nomos Verlagsgesellschaft mbH & Co. KG, vol. 10(3), pages 87-105.
    13. Hermine De Soto & Peter Gordon & Ilir Gedeshi & Zamira Sinoimeri, 2001. "A Qualitative Assessment of Poverty in Ten Areas of Albania," World Bank Publications - Reports 15455, The World Bank Group.
    14. Richard Beilock, 2005. "Rethinking Agriculture and Rural Development in Kosovo," South-Eastern Europe Journal of Economics, Association of Economic Universities of South and Eastern Europe and the Black Sea Region, vol. 3(2), pages 221-248.
    15. Ndoc Faslia & Fran Brahimi, 2012. "Effects of the free trade agreements on the development of the agriculture sector in the Balkan region," Review of Applied Socio-Economic Research, Pro Global Science Association, vol. 4(2), pages 108-113, Decembre.
    16. Mathias Lerch, 2013. "Fertility Decline During Albania’s Societal Crisis and its Subsequent Consolidation," European Journal of Population, Springer;European Association for Population Studies, vol. 29(2), pages 195-220, May.
    17. Hermine De Soto & Peter Gordon & Ilir Gedeshi & Zamira Sinoimeri, 2002. "Poverty in Albania : A Qualitative Assessment," World Bank Publications - Books, The World Bank Group, number 15234.
    18. Sergei Guriev & Barry W. Ickes, 2000. "Microeconomic Aspects of Economic Growth in Eastern Europe and the Former Soviet Union, 1950-2000," William Davidson Institute Working Papers Series 348, William Davidson Institute at the University of Michigan.
    19. Grogan, Louise, 2018. "Strategic Fertility Behaviour, Early Childhood Human Capital Investments and Gender Roles in Albania," IZA Discussion Papers 11937, Institute of Labor Economics (IZA).
    20. Braha, K. & Qineti, A. & Cupák, A. & Lazorčáková, E., 2017. "Determinants of Albanian Agricultural Export: The Gravity Model Approach," AGRIS on-line Papers in Economics and Informatics, Czech University of Life Sciences Prague, Faculty of Economics and Management, vol. 9(2), June.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:taf:pocoec:v:14:y:2002:i:1:p:109-121. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Chris Longhurst (email available below). General contact details of provider: http://www.tandfonline.com/CPCE20 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.