Management and Design of Fiscal Policy Towards Economic Development

Abstract

Based on the fact of economic transition from a planned economy to a free market economy with internal, but external and every day more are more obedient than fiscal policy which defines the state (government) have an orientation of economic development, or determining the direction of development of a country, as well as a determining factor of the withdrawal of foreign investment. Western Balkans almost two decades now being attacked by the reality of transition, and the inability of building sustainable fiscal policies, to make proper orientation, as well as to attract foreign investors (The case of Kosovo). The Western Balkan countries are currently in a similar horizon in this journey, where all states are performance and successive challenges, in the same sectors as in the economic, legal and political, which all make an effort to come out this isolation transitive, towards a light, economic stabilization. Kosovo now has an interest, to begin economic stability, but with a perfect start, economic, with a vision and interest provided by the EU, and the many lessons learned by neighboring countries, that are pass, and have, passed, through these economic phases. Therefore we must be as vigilant in adopting and commitment of making the best economies, the experiences of European and Balkan countries, needs a clear cohesion, and doing some medium and long term policies, the economic path of interest Kosovo, for a sustainable economic development This is a reality that provided us with the opportunity to improve but that can never leave without facing directly. Reforms should be modeled taking into account these special features which I think are very long term:1. Investment security, adequate legislation and security, to be implemented straight with the legislation. 2. Attractive Building (attractive) fiscal policy. 3. Transparent privatization of SOEs. 4. Clear procedures and elimination of public administration through byrokracive. Kosovo can be attractive for foreign investors due to the fact that there is a very young population where the average age of the population is 26 years.

DOI: 10.5901/mjss.2014.v5n20p990