IT system for development of national economy in the 21st

centuryDr.oec. Aldis Bulis

E-mail: aldis.bulis@gmail.com, mob. 25934522

Mārtiņš Dudelis

University of Latvia

ProblemsFor government For companies For society

Declining

number of tax

payers

Declining

number of

customers

Declining volume

of social

transfers

Volume of

incomes from

taxes

Declining

number of

employees

Fair from

imigrants

Objective• To reach faster growth (e.g. to reach 5% GDP growth).

• To provide sustainable development.

• To provide bigger budget for national security.

Questions to be answerdHow to break negative trend?

How about links / causalities between different indicators?

What to do for sustaining factors of production?

How to develop country, cities, countryside, regions

How to generate GDP growth? (parametri, kā veidojas IKP)Where is compromise between privacy and state control and intervention?Which acitivities bring better results?

How about government reaction regarding negative trends? Dilatory or overdue reaction?

What to do with brawnfields?

Give answers for investors - how much free land Latvia has, forests etc.

InputExport volume (Mill EUR) LR CSPGDP growth (Mill EUR) LR CSP

Unemployment (persons) LR CSPProfit of companies (Mill EUR) Lursoft

Turnover of companies (Mill EUR) LursoftEU funds (Mill EUR)Other investments (Mill EUR) LR FM, raim.gov.lvGovernment income (from taxes, Mill EUR, which taxes?)

LR FM, LB

Party membership (Yes/No) CVK, Politicans at the national and municipal level

National level Data setMunicipal level Data set, www.lps.lvFactors of production Labour force, capital, technology,

natural resources (list of significant products of production)

National interests Criteria for system (promotion of national values, faster GDP growth), Latvija 2030, indicators

Approach for model:1.National factors of production.2.Values.3.National interests.

Output Trends, regression models

Thesis tested

Tool for planning

Tool for decision making

Assessments

To find cleavleges

Recommendations

Tool for spatial planning

Volumes and spatial distribution of factors of production -shows spotlines

Monitoring

To identify problems, problem points

Problems in developing model• Factors of production (Labour force, capital, technology, natural

resources / list of significant products of production – forest, water resources, mineral resources, agriculture etc.) → IT solutions and opportunities to put these data on the map.

Macroeconomic analysis (Excel and expertize) vs. Spatial planning (IT system and expertize)

• National interests

• Criteria for system (promotion of national values, faster GDP growth), Latvija 2030, indicators → need for consensus (5% GDP growth; values – language, cultural and historical heritage)

Factors of productionFactor of production Industry (economic output)

Forest Wood and articles of wood

Agriculture Prepared foodstuffs

Etc. Etc

Factors of production→Entrepreneurship→Economic output

Functions in IT system• Assessment and monitoring system

• Income generation system

• Entrepreneurship and export improvment system

• Political system

• Values’s promotion system

• National security system

• Real time open source macroeconomic data system

Thank you for attention!

Example