2017 EDUCATION CENTRE - For pupils, students, and everyone 8
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EDUCATION CENTRE INITIATIVES GOVERNMENT WATCH STRONG
For pupils, students, Respect for Reducing tax burden INTERNATIONAL
and everyone Taxpayers Day PARTNERSHIPS
8 16 20 34
2017
2 Lithuanian Free Market Institute 2017 3
LFMI’S BOARD Contents
We are grateful for
strategic insights
Elena Leontjeva Dr. Virginijus Kundrotas
Chair of the Board, LFMI President, Baltic Management VALDŽIA
Development Association PRIEŠ STOKĄ:
KAIP TAI KEIČIA
Associate professor, ISM University ŽMOGŲ?
Gintautas Bartkus of Management and Economics Darbas, pinigai, vartojimo
įpročiai, parama
Partner, Deloitte Legal Vice president, Adizes institute
Vytautas Bučas Dainius Pupkevičius 1. Education Centre 2. Initiatives 3. Government Watch
Chair of the Board, Invalda Privatus Head of Risk Consultancy Unit,
Kapitalas 1.1. International recognition 3.1. Reducing tax burden
KPMG Baltics 1.2. For pupils, students, and 2.1. Scarcity, Morality and Public 3.2. Advocating lower and more
everyone Policy effective public expenditure
2.2. Municipal Performance Index 3.3. Reducing regulatory and
Giedrius Dusevičius Prof. dr. Paulius Subačius
2.3. Shadow economy research bureaucratic burden
Partner, Digital Audio 3.4. Fostering competition
Professor, Vilnius University Vice- 2.4. Employment Flexibility Index
3.5. Increasing choice for patients
Chairman, Lithuanian Catholic 2.5. Respect for Taxpayers Day 3.6. Promoting flexible labour
Academy of Science 2.6. Know Your Taxes
Arturas Feiferas relations
3.7. Supporting targeted social
Board member, Belinvestbank policies
Egidija Vaicekauskienė
and Victoriabank
Director, Nematekas
Vysk. dr. Kęstutis Kėvalas
Bishop of Telšiai, Lithuania
Dr. Šarūnas Nedzinskas p. 6 p. 10 p. 18
Head of Banking Portfolios for the
Baltics, Lindorff
4. A broad 5. Policy solutions 6. Strong
and targeted international
communication partnerships
p. 30 p. 32 p. 34
4 Lithuanian Free Market Institute 2017 5
Thank you for your If individuals create a country, if e pluribus
investment in 2017 unum, then why the right of a group of
people to decide how to live is so highly
respected while it is almost completely
disregarded in case of an individual?
Acme grupė Intersurgical Panevėžio statybos trestas In 2018, Lithuania celebrated the This is not about social norms or
Agrologistika Invalda INVL Raminora centenary of the restoration taxes that are necessary to meet
of its independence. The (re) the basic needs of a country.
Agrorodeo Invalda privatus kapitalas Ryterna
birth of Lithuania was only Rather, this is about a discussion
Amilina Kaminera Rokiškio pieno gamyba possible because it refused to whether an adult may decide
Arkada Klaipėdos baldai Ruvera compromise on its freedom in upon what and how much to eat.
Aurika Koncernas Achemos grupė SALDA 1918 and 1990, choosing not to Is it the right way to celebrate our
AVIVA Lietuva Koncernas MG Baltic Schindler-liftas live under German and Soviet centenary?
BaltCap Kretingos grūdai Schmitz Cargobull Baltic
occupation. Freedom is too
precious to compromise on. LFMI’s mission for the next century
Baltic Champs Group Kretingos maistas SEB gyvybės draudimas
is based on individual freedom
Baltisches Haus KS Investicija Serfas However, if the freedom of a – freedom of thought, freedom
BDO auditas ir apskaita Lankava Serpantinas country is the noblest objective in to act and freedom to make
Berlin Chemie Menarini Baltic Lietuvos aludarių gildija Silberauto line with the highest morals, why a decision. Though it does not
Coca-Cola HBC Lietuva Lietuvos draudimas Systemair does the freedom of an individual ensure well-being, freedom
have a lower moral weight? Why empowers an individual. It makes
Danpower Lietuvos gyvybės draudimo Skogran
įmonių asociacija is fighting for the freedom of a the dividing line between well-
Danske Bank AS Lietuvos filialas Skuba country noble, while protecting fed slaves and free men, and
Daumantai LT Lietuvos keliai asociacija SMS-Eligita the freedom of an individual – between a Soviet state and an
Devold AMT Lifosa Smurfit Kappa Baltic selfish? independent Lithuania.
DFDS Seaways Linas Agro Somlita
Litagra If individuals create a country, if e Let us devote the next 100 years
Dojus agro Sparnai svajonei fondas
Lytagra pluribus unum, then why the right to the protection and defence
Dolomitas Stigma of a group of people to decide of individual freedom. We will be
Domasta Lotos Geonafta Šiaulių bankas how to live is so highly respected a government watchdog, the
ECE Projektmanagement Vilnius LW Logistics Šiaulių žemės ūkio technika while it is almost completely herald of reforms, and the centre
Eglės sanatorija Mantinga Tarptautinė statybos disregarded in case of an of education.
Ekskomisarų biuras Mars Lietuva korporacija individual?
Enercom Capital Maxima LT Vakarų medienos grupė
The history of Lithuania has
Estrella Baltics MDI Transport Vėtrija
shown that a country can survive
Morita Viking Malt
Eurobiuras in people’s hearts and minds
EVRC Mums rūpi VŠĮ Vilniaus prekyba even the darkest times. However, Žilvinas Šilėnas
Fresenius Kabi Baltics Nemuno banga Vilnoja visuomeninė should a free country stand in the President, Lithuanian Free
Nemuno vaistinė organizacija way of individual freedom? Market Institute
Gintarinė vaistinė
Novogaming Vilsota
Girteka Logistics
Olifėja Viltis-Vikonda labdaros ir
Hanner paramos fondas
Hoda Op Corporate Bank
YIT Kausta Orlen Lietuva
INTER RAO Lietuva P. Varkojis ir kompanija
7
6 1. Education Centre Lithuanian Free Market Institute 2017
1.1. International 23 000 PUPILS
recognition 77%
Study from the textbook
each year
Distinguished for its pedagogical value and
284 teachers
practicality, in 2017 the textbook Economics
in 31 Hours received the Educational Learning
Resources Award in the London Book Fair’s
International Excellence Awards. In 2016 the
textbook received a prestigious Templeton 39%
Freedom Award.
reached through professional
training and the interactive
teachers’ manual
According to TheBestSchools.
org, in 2017 LFMI ranked 35th among
Having learned from the textbook,
top 50 places in the world to the majority of students changed
study classical economics.
their perception of economics.
The Institute was distinguished for the suc-
cess of Economics in 31 Hours, partnership They have realized that
with the Atlas Network, an extensive library,
and publishing work.
economics is about human action
“I’ve learned how far-reaching
economics is. Having learned in the world of scarce resources “A single textbook, teacher or
from Economics in 31 Hours, student can change the future.
I am able not only to under- rather than consumerism. Our vision of an independent
stand and evaluate informa- society fuels our motivation
tion critically, but also to make more than awards and rec-
rational economic decisions.” LFMI surveys ognition. The best yet hardest
way to build a free society is
Greta Gudauskaitė through teaching independent
Student, Vilnius Gabija Gym- thinking.”
nasium
Across The textbook will reach students
Marija Vyšniauskaitė
the globe in Georgia, Ukraine, Romania,
Head of Education Centre
and Bosnia and Herzegovina.
Educational resources are being
piloted in Canada.
8 1. Education Centre Lithuanian Free Market Institute 2017 A 9
1.2. For pupils, Lectures for
students and
students
of economics
and political
sciences.
everyone
Our international project on
integrated social education fosters
independent thought and critical
thinking among young people in
32
open lectures
the Baltics. Together with Estonian,
Latvian and Finnish partners, we are
developing a course on integrated
economics, ethics and citizenship
1 962
education. Our resources encourage
students to think critically and
independently in addressing an array
of social issues such as poverty, teachers, pupils,
and students
consumerism, propaganda, and
migration.
“Our ambition is to embed a holistic
approach to social issues in school
100
Piloting in
and informal education. We under-
stand that personal development
30 schools extends far beyond school and
university; therefore, we aim to reach
articles and quotations as many people as possible. Pupils,
in the media with 90 teachers students and everyone interested in
economics will have a chance to take
Educating the public our national economics exam.”
about the importance of
economic literacy and
and 2 000 pupils.
critical thinking. Marija Vyšniauskaitė
Head of Education Centre
10 2. Initiatives Lithuanian Free Market Institute 2017 11
2.1. Scarcity,
Morality
and Public “Capturing and visualizing the phe-
Policy
nomenon of scarcity was no easy
task for the production team. Philos-
ophy documentary is especially rare
in Lithuania, but we hope to succeed
and draw the attention of the intel-
lectually curious.”
Kęstutis Drazdauskas
Producer
For the first time in
scholarly research the
phenomenon of scarcity 01 04
has been taken out from
We held two colloquia on cultural We published a handbook
academic peripheries and moral consequences on public policy analysis
to the center of analysis of government regulation in Government Against Scarcity:
and thoroughly explored Prague and Potsdam, attracting How it Changes Who We Are,
from the perspectives representatives of 32 think tanks focusing on labor relations,
of social sciences “Scarcity is not merely an eco- from 15 European countries. consumption habits and social
nomic phenomenon. It is a uni- support. We disseminated the
and the humanities, versal phenomenon intrinsic to handbook to over 50 think tanks
including philosophy,
02
the material world, manifesting worldwide and presented it to
theology, psychology, in the lack of spirituality, unity,
intellectuals and members of
knowledge, etc. The understand-
anthropology, sociology, ing that scarcity is the catalyst
the European liberty movement
and economics. for change and human progress We established Vilnius Club for during Atlas Network’s Europe
liberates a person.” the inquiry into the relationship Liberty Forum in Hungary and
Our innovative project “Scar- Plėšnys and Dr. Naglis Kardelis, between freedom, economics Freedom Games 2017 in Poland.
city, Morality and Public Policy” economist Žilvinas Šilėnas, an- and morality.
approached the finish line as thropologist Saulius Matuleviči- Elena Leontjeva
we completed shooting the us, psichologist Rita Rekašiūtė Project leader
03
documentary “The Phenomenon Balsienė, and others – will unfold
of Scarcity”, featuring research the importance of the phenom-
results and insights from differ- enon of scarcity from an array
ent disciplines. Members of our of ten disciplines. The documen-
interdisciplinary team – project tary is directed by Gintautas We presented our
leader Elena Leontjeva, bish- Smilga and Ramūnas Aušrotas interdisciplinary research and
op Kęstutis Kėvalas, Prof. Mikas and produced by Kęstutis Draz- publication the Phenomenon
Vengris, Prof. Paulius Subači- dauskas. of Scarcity: Being, Man and
us, philosophers Prof. Albinas Community in Vilnius Book Fair.
12 2. INITIATIVES Lithuanian Free Market Institute 2017 13
49
ŠIAULIAI CITY
42
Municipal
PANEVĖŽYS CITY
2.2. SKUODAS MAŽEIKIAI AKMENĖ JONIŠKIS
BIRŽAI
Performance
PAKRUOJIS
PALANGA KRETINGA ŠIAULIAI PASVALYS
PLUNGĖ TELŠIAI DISTRICT ROKIŠKIS
ŠIAULIAI KUPIŠKIS
PANEVĖŽYS CITY
Index
KLAIPĖDA CITY
KLAIPĖDA RIETAVAS
CITY RADVILIŠKIS ZARASAI
DISTRICT KELMĖ
PANEVĖŽYS
ANYKŠČIAI VISAGINAS
ŠILALĖ DISTRICT
NERINGA
UTENA
RASEINIAI IGNALINA
ŠILUTĖ KĖDAINIAI
TAURAGĖ
UKMERGĖ MOLĖTAI
JURBARKAS ŠVENČIONYS
PAGĖGIAI KAUNAS
DISTRICT JONAVA
ŠIRVINTOS
65
KAUNAS
ŠAKIAI CITY
In 2017 we released the KĖDAINIAI DISTRICT KAUNAS DISTRICT KLAIPĖDA CITY KAIŠIADORYS VILNIUS
seventh edition of Lithuania’s
DISTRICT
KAZLŲ
RŪDA ELEKTRĖNAI
Municipal Performance Saulius Grinkevičius Valerijus Makūnas
PRIENAI
VILNIUS
Index. Our comprehensive
VILKAVIŠKIS CITY
Mayor of Kėdainiai Dis- Mayor of Kaunas District MARIJAMPOLĖ BIRŠTONAS
TRAKAI
annual research report trict Municipality Municipality (Savivaldybių
žinios, 2017 11 11)
ALYTUS
on the performance of (www.kedainiai.lt, 2017 10 31) KALVARIJA DISTRICT ALYTUS ŠALČININKAI
CITY
Lithuanian municipalities “The index revealed both “Independent research LAZDIJAI
is a benchmark for policy the strengths and weak- helps to take a closer SCORE
VARĖNA
reforms in local governance nesses of our munici- look at the performance
71
DRUSKININKAI.
that allows municipalities to pality. I think we should of our municipality and
61 -75 52-55
work and continue to to improve it.”
compare their performance
50 41
VILNIUS CITY
improve.”
and improve their services by neringa DISTRICT
56-60
49-51
KAUNAS CITY ALYTUS CITY
adopting best practices. 27-48
MAŽEIKIAI DISTRICT Darius Jasaitis
Mayor of Neringa Munic-
Antanas Tenys ipality (Vakarų ekspresas,
2017 12 07)
Mayor of Mažeikiai Dis- District municipality Recognised City municipality
trict Municipality (San- rankings rankings
tarvė, 2017 10 31) Over 300 media
“According to LFMI, we
had the highest fees appearances and
#1 KLAIPĖDA
“We have analysed the for business linceses quotations by editors and #1 VILNIUS
among district munici- KAUNAS opinion leaders.
index and its recom- #2
mendations. We are very palities in Lithuania. Our
happy about our posi- Council has noted that #3 PALANGA
Impactful #2 KLAIPĖDA
tion in the index and feel and made a decision
to reduce license fees # 4-5 DRUSKININKAI
an obligation to main- A benchmark widely used by
applicable to certain
tain it.”
activities.”
MAŽEIKIAI municipal governments in #3 KAUNAS
implementing reforms and
#6 VILNIUS
reporting to electorate.
#4 ŠIAULIAI
# 7-11 KĖDAINIAI
INTERNATIONAL
NERINGA
PANEVĖŽYS The Municipal Performance #5 PANEVĖŽYS
Index was implemented in
RADVILIŠKIS
Kenya, Georgia and Greece and
ŠILUTĖ is currently under development #6 ALYTUS
in Bosnia and Herzegovina.
14 2. INITIATIVES 2. INITIATIVES Lithuanian Free Market Institute 2017 15
2.3. Shadow 2.4.
Employment
economy Flexibility Index
research
Employment Flexibility In cooperation with think tanks
LFMI has been doing
research on shadow
We are recognized ex-
perts in the field of shadow
economy.
Index 2018
DENMARK 96,9
in Poland, Slovakia, Bulgaria, the
Czech Republic and Estonia we 14
have developed and launched
economy for over a USA 92,4
Employment Flexibility Index 2018. media outlets
decade. In 2017 we Our recent study on illegal
JAPAN 91,0
published the index in
continued our research alcohol and tobacco trade
GREAT BRITAIN
CANADA
83,2
2017
82,6
together with a renowed in Lithuania revealed that
IRELAND 82,1 The Employment Flexibility Index
largely due to ill-founded
expert Dr Friedrich policies and political de-
“Shadow economy will NEW ZELAND 81,1 of EU and OECD countries is
Schneider and think remain widespread unless based on the World Bank’s Doing
380
Czech Republic 80,3
cisions shadow economy the conditions for legal Business methodology and data,
tanks from Latvia, Estonia, in Lithuania is back on the activity are improved. At
BULGARIA 79,6
switzerland 79 and is prepared in cooperation
Poland, Sweden and rise. least a third of measures MALTA 77,5 with Simeon Djankov, author of
Finland. against shadow economy Iceland 74,9 the Doing Business report. media quotations
should focus on improving
760
those conditions. Regret-
ITALY 74,3 on labour regulation
tably, today’s policies are
HUNGARY 72,5 issues
LITHUANIA (NEW LABOUR CODE) 70,3
different”
CYPRUS 70,2
media appearances on AUSTRIA 69,1
the issue of shadow econ- Vytautas Žukauskas
LATVIA 68,3
Head of shadow econo-
10
omy BELGIUM 68,2
my research, LFMI
ISRAEL 68
NORWAY 63,9
ROMANIA 63,9
think tanks across
GERMANY 63,5 Europe use the
CHILE 62,4 Employment Flexibility
SPAIN 60,8 Index as a reference
SLOVAKIA 60,7 point in their research
LITHUANIA (OLD LABOUR CODE) 60,6 and advocacy
ESTONIA 59
SWEDEN 57,7 “Employment flexibility is particularly
POLAND 57,5 important to the economy. Our index
The Netherlands 56,5 and research promote well-informed
FINLAND 55,4 policy debates and sound policy
SLOVENIA 52,9 solutions to increase the competi- Long-term research
CROATIA 51,2 tives of Lithuania”. We are conducting
GREECE 50,6 comparative studies on
TURKEY 48,3
Jurgita Čyžiūtė hiring, working time and
KOREA 46,2
Policy analyst, LFMI redundancy regulation
PORTUGAL 45,5
in CEE countries
MEXICO 45,1
luxembourg 43,6
FRANCE 39,4
16 2. INITIATIVES Lithuanian Free Market Institute 2017 17
2.5. Respect for 2.6. Know Your
Taxpayers Day Taxes
19TH
95 650
Implemented in Poland, 19th Tax Freedom personal tax bills
Bosnia and Herzegovina, Day in Lithuania
Slovakia and Ukraine
The 11th of May became the official Respect for Taxpay-
ers Day in Lithuania as both Seimas and the President
upheld LFMI’s petition in late 2017.
It will honour taxpayers and their
contribution to the state as well as
educate the public on how much
tax they pay and how their taxes are
spent by the government. This land- “The Respect for Taxpayers
mark achievement has received Day is an opportunity to show
international recognition, featuring in our gratitude to those who
support our country and to
the news of Atlas Network and World
remind policians about their
Taxpayers Association. responsibility. Taxpayers are
largely neglected group in
Lithuania, but they are exactly
those who the government Nearly
should fear the most. Politi-
cians and authorities should
be constantly asking them- A broad media cam-
12 000
taxpayers used our online A booklet on taxes
selves about what else they paign on the issue of high tax calculator in 2017 and state expenditure
can do to serve those who taxation for politicians
create the well-being of our
country.”
Žilvinas Šilėnas
President, LFMI
“There have been plans to reduce
labour taxation which is extremely
high in Lithuania. That is a good
approach, but let’s not forget to re-
duce VAT to the former 18 percent
which was temporarily increased
during the crisis.”
Ieva Valeškaitė
Policy expert, LFMI
Lithuanian Free Market Institute 2017 19
3. Government
Watch
“We have to act in defence
of economic freedom. It is
the most attacked freedom
of all in today’s democracies
threatened by regulation and
public spending. Think tanks
such as LFMI are vital to an
01 02 03 04
effective fight against bad
policies. Excellence and cre-
ativity are the key drivers of
change. Let’s stop attempting
to foresee policies, let’s influ-
ence them.”
Leszekas Balcerowiczius
A team of policy experts analyse 566 legal acts
Government
watch
Policy
analyses
POLISH ECONOMIST
292 responses to 3 360 media
Policy
responses
Opinion
leadership
public policies and draft legislation analysed.
draft legislation. appearances.
on a daily basis, providing
extensive reviews and policy
recommendations to decision-
94 position notes.
makers. Politicians rely on our
arguments in official discussions
and policy-making. 9 policy papers.
Our areas of expertise include
monetary and tax policy, social
security and pension reform, 33 meetings with
private property protection, policy makers and
competition policy, labour other stakeholders.
regulation policy, paternalist
policy, health, education, and
energy. “We seek to be the first to re-
act to, review, and evaluate
policies so to prevent harm-
ful decisions and support
positive reforms and initia-
tives. Being one step ahead
in proposing policy solutions
for a prosperous Lithuania is
our daily target.”
Edita Maslauskaitė
VICE PRESIDENT, LFMI20 3. Government Watch Lithuanian Free Market Institute 2017 21
3.1. Reducing tax
burdern
Key achievements:
Higher tax-exempt A rejection of the
income threshold. proposal to introduce a
universal requirement
to declare assets.
“The promotion of lower
taxation, accountable gov-
17
ernance and transparent
1 950
More lenient penalties A rejection of the
for non-compliance proposal to reduce and efficient public finance
with tax obligations VAT-exempt income is our daily business. As the
government is more and
than proposed by the threshold for business
more tempted to take even media appearances original
government. lincese holders.
more money out of tax- analyses
on taxation
payers’ pockets, we act as
of draft
a watchdog of ill-founded
policies.”
legislation
Žilvinas Šilėnas
President, LFMI
No increases in Twice as high taxable
reduced VAT rates income threshold
for hotel services, for self-employed
central heating, individuals than
pharmaceuticals, propsed by the
etc. government.22 3. Government Watch Lithuanian Free Market Institute 2017 23
3.1. Reducing tax
burden
Core targets:
Unified social security An upper limit on
contributions for more social security
transparency in the contributions.
tax system.
Pre-crisis VAT rate of Zero tax on reinvested “The government should
18 per cent. profit. start making decisive steps.
The unification of the tax
base for social security
contributions leading to
a simple and more trans-
parent tax system might
be the first one. Then they
could move on to review
tax tariffs and financial aid
12 000
policies.”
No sugar and fat Flat tax rates.
taxes.
Ieva Valeškaitė
taxpayers calculated
Policy expert, LFMI
their tax burden at
mokumokescius.lt.
Lower social security
contributions.
Transparent, effective
and responsible use of
public finance.
150
analyses of draft
legislation24 3. Government Watch Lithuanian Free Market Institute 2017 25
3.2. Advocating 3.3.
Reducing
lower and more regulatory and
effective public bureaucratic
expenditure burden
We were actively engaged in 2018 budgetary negotiations, Our policy proposals and work to streamline the process
drawing attention to key fiscal challenges, including public of getting construction permits and electricity connection
deficit and debt, high taxes and circumvention of measures paid off in terms of improved business climate, allowing
to contain expenditure. Lithuania to claim 16th position in the World Bank’s Doing
Business rankings.
“We should not be afraid of “Having killed personal initi-
Our analysis of state expenditure on general public services asking why is the quality of ative, we will have a society
revealed inefficient public spending areas in the bureaucrat- public services so low while Our comprehensive review of a policy proposal on intro- living on benefits and char-
ic apparatus of the state. the government is so ex- ducing a mandatory registration of all pre-paid SIM cards ity instead of strong, active
pensive. Indeed, authorities had a significant contribution to the prevention of addi- and creative citizens. The
make mistakes on a daily tional regulatory burden on businesses. government should stay
basis, but our action can out of the way and em-
change that. We should power its citizens. I can
keep calling for more trans- guarantee that it would be
parency and accountabili- the best program to pro-
ty to move things forward.” mote economic prosperity
Our position paper on the future of EU finance, calling for a Our idea to substitute prohibitations with permissions was in Lithuania.”
fundamental budgetary reform for a prosperous European Aistė Čepukaitė, the most popular in its category in the contest Idea for
Union was supported by eight renowed public policy think Policy analyst, LFMI Lithuania. Žilvinas Šilėnas,
tanks from across Europe. President, LFMI
Our open letter on the posting of workers in the European
Union, calling on EU decision-makers to refrain from pro-
tectionist policies was undersigned by fifteen public policy
think tanks from across Europe.26 3. Government Watch Lithuanian Free Market Institute 2017 27
3.4. Fostering 3.5. Increasing
competition choice for patients
Safeguarding competition and standing against state-owned We put forward alternatives to “the cheapest drug
businesses, in 2017 LFMI: policy”, pointing at specific regulations that prevent
- acted upon the proposal to allow municipalities to engage in drug prices from falling. We emphasized that neither
any business activity; “the cheapest drug policy” nor “mystery shoppers” in
pharmacies will help create a sustainable, efficient
- publicized government’s aspirations to build state-owned in- and quality-oriented healthcare system.
ternet infrastructure whereby distorting one of the most com-
petitive markets in Europe;
“Municipal enterprises “Recent decisions taken
- revealed that the majority of state-owned IT&T service pro- should be allowed to pro- by the Ministry of Health
viders directly compete with private businesses, provide low vide services only tempo- demonstrate distrust in
rarily, in exceptional cases We advocated against a proposal to allow hospital the health care sector.
quality service and operate inefficiently; pharmacies to engage in retail trade in pharmaceu-
and under special circum- Decisions made in such
stances. Private businesses ticals, emphasizing a potential threat to fair market athmosphere of distrust
may solve many prob- competition and efficient and targeted use of pub- may paralyse the whole
- advocated against privileges of state- and municipali- lems.” lic finance allocated for the provision of healthcare health care system.”
ty-owned enterprises, resulting in a prohibition of internal deals services.
between state-owned companies and their subsidiaries;
Gintarė Edita Maslauskaitė
Deržanauskienė Vice President, LFMI
Policy analyst, LFMI
- supported the introduction of higher income threshold in
merger regulation beyond which companies should obtain a
concentration permit from the Competition Council;
- called for embracing an explicit reference to the principle of
competition in the draft National Energy Strategy.28 3. Government Watch Lithuanian Free Market Institute 2017 29
3.6. Promoting 3.7. Supporting 6.5.
flexible labour targeted
relations social
policies
Concrete policy proposals for facilitating employ- We put forward arguments against ill-founded, expensive
ment processes of non-EU nationals. and inefficient social welfare policies, including universal
child benefits, support for housing in regional cities and oth-
ers that are provided without conducting a means test.
Rigorous arguments against stringent regulation of
fixed-term employment contracts and in favor of “Flexible labour relations “Social policies should
more flexibility in the new Labor Code. are key in attracting in- Teikėme argumentus, kad socialinės politikos sprendimai, be targeted to actually
vestment, job creation, and tokie kaip vaiko išmokos, parama būstui įsigyti šeimoms address the issues of those
productivity and income regionuose ir kiti, kurie priimami neatsižvelgiant į gyventojų in need. There should be
growth.” turimas pajamas ir turtą, neproporcingai didina biudžeto space for private initiative
išlaidas, socialines problemas sprendžia netaikliai. and charity.”
Jurgita Čyžiūtė
Policy analyst, LFMI Edita Maslauskaitė
Sound arguments against increas- Vice President, LFMI
ing the minimum wage to 500 euro.
We pointed at negative consequences of generous long-
term unemployment benefits and other social welfare pay-
ments that disincentivize reintegration into the labor market.
In light of the plans to reform the pension system, we em-
phasized the importance of personal pensions and the need
of sound policies that would promote personal pension
schemes in Lithuania as well as create incentives for people
to choose them.30 Lithuanian Free Market Institute 2017 31
6. A broad and
targeted 3 360
communication Commentaries and
media appearances
44 %
know LFMI
Spinter Research
No.
1
opinion leader in
Lithuania
Kantar TNS
Facebook:
Numerous shares by
opinion leaders and
journalists
2
321 000
No.
people reached
210
Radio talk
250
TV shows and influencer in Lithuania
10 000
Facebook followers
shows news releases Delfi32 Lithuanian Free Market Institute 2017 33
5. Policy Diverse stakeholders –
different products
solutions
STATE PATERNALIST KOL PERSKAITYSITE COMMERCIAL
EXPENDITURE ON FOOD POLICIES. ŠIĄ TRUMPĄ ANTRAŠTĘ, ACTIVITIES OF
GENERAL PUBLIC A COMPARATIVE LIETUVOS MUNICIPAL
SERVICES: ANALYSIS VALDŽIA IŠLEIS ENTERPRISES
THE CASE OF
LITHUANIA
VALDŽIA
PRIEŠ STOKĄ:
KAIP TAI KEIČIA
3 308 EURUS
ŽMOGŲ?
Darbas, pinigai, vartojimo
įpročiai, parama
DISCREPANCIES COMPARING WAGES, STATE
IN EDUCATION LABOUR CODES UNEMPLOYMENT PARTICIPATION IN
INFRASTRUCTURE AND BASED ON AND SOCIAL THE PROVISION OF
FINANCING DOING BUSINESS BENEFITS ACROSS ICT SERVICES
METHODOLOGY MUNICIPALITIES34 Lithuanian Free Market Institute 2017 35
Strong
Financial Times Business Regulation
Forum in Berlin
6.
international
partnerships LFMI present its research project Scarcity, Morality and
Public Policy at Freedom Games in Budapest
Over 10 000 EU opinion
leaders and policy
makers reached thanks
to European think tank
networks.
CEO summit of
European think
tanks in Budapest
Partnership with over 30
independent think tanks.
“According to the Global
Go to Think Tank Index by
Atlas Network’s Vice President Tom G. Palmer
presents LFMI’s handbook Government Against the University of Pennsylva-
Scarcity: How it Changes Who We Are at nia, LFMI is the best public
World Taxpayers Association regional conference in Zagreb
Freedom Games in Budapest policy think tank in Central
and Eastern Europe among
those promoting economic
freedom. We among top 60
independent, non-partisan,
6 13
privately funded think tanks in
the world.”
Aneta Vainė
international presentations Director of Development
projects to international and Programs, LFMI
implemented events abroad A conference on tax
competitiveness in RigaLithuanian Free Market Institute Šeimyniškių st. 3A, LT-09312 Email: llri@llri.lt Phone +370 52500280 www.llri.lt/en facebook.com/laisvosios.rinkos.institutas
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