Business firms operate in a certain environment in which they interact with one another, with individuals, governmental organisations, financial institutions and various other interest groups. Operation of respective economic and social networks (both voluntary and private market determined) may...

The paper studies the financial market efficiency based on the data from Tallinn Stock Exchange, the rationality of expectations that is treated as financial rationality and the time series properties of inflation time series to get the forecasting model. The hypotheses to be tested are of...

The aim of the paper is to analyze the relationship between health and economic growth in Estonia. Health determines the quality of the human capital, which modern economic theories consider the principal factor of economic growth. On the basis of survey data we estimate the effect of...

The aim of the paper is to analyze and explain the impacts of fiscal policy on householdsí consumption. Specifically we analyze the role of both discretionary and non-discretionary fiscal policy on consumption. The authors examine tax system in Estonia and distribution of income between...

Within the first 20 years of the market economy in Estonia, the public school market has been decentralized in Tallinn. Firstly, we describe how students are allocated to primary schools in a narrative, and secondly, in a formal mechanism design language. We indicate the closest equivalent...

This article presents empirical analysis of the effects of school choice policy in Estonia. We show that relying on market and giving autonomy to the schools over student selection without any central priority matching or other central guidelines will produce admission tests, even in...

This paper contributes to the ongoing debate of institutional research in economics and the methodological debate over the plausibility of using analytic narratives, in social sciences in particular. Using a single historical case we argue that in Tallinn by and large the merchant guild solved a...

This paper states that small communities are able to solve the tragedy of the commons by consent over social norms which change the structure of social trap games. I argue that social traps, which are caused by rational human behaviour, have informal institutional solutions. I show that...

Education reforms that allow new educational providers to supply schooling into a state system can improve parental satisfaction and raise learning outcomes through consumer choice. Choice provides children with schooling that matches their interests. A child engaged in school is more likely to...