Janonytė, Asta

During the last 20 years of Lithuanian independence various economical strategies were created but in reality its implementation was based not only on the macroeconomical and financial knowledge but on political decision as well. It is noticed that different political parties states different economical goals but it is difficult to notice difference between left and right parties than it gets the power in the government. The aim of the paper is to disclose differences of the financial policy of Lithuanian governing left and right parties by analyzing content of state financial policy and theoretical aspects of the effectiveness of the financial policy. On the purpose to get to the target, aims and implementation of state financial policy are identified, priorities of the financial policy of governing left and right parties, its effectiveness issues on the empirical research are analysed. Moreover, effectiveness evaluation of the financial policy of Lithuanian governing left and right parties and its influence on the macroeconomic results are made. In this paper research is based on comparison of changes of VAT, profit and income taxes rates and identification of Lithuanian economical cycle and trends of macroeconomical indicators such as GDP, unemployment rate and direct foreign investments numbers. Results of research show that Lithuanian governing left parties are not inclined to raise rates of the main taxes and budget expenses more than right parties. It is also stated that governing left and right parties was in power during the periods of economy growth and recession but governing right parties had to deal with more difficult economical processes such as Russian crisis in 1999 and financial crisis in 2007-2009 than governing left parties.[...].

The article analyses the performance of banks and their supervision in twelve new countries of the European Union. The study was carried by analysing the data of Herfindahl – Hirschman index (HHI), financial results and their correlation with a supervision level in the countries. The study has shown that the supervision level and competition do not have influence on a stability level in a banking sector. Supervision institutions has very little influence on the banks’ financial results.