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Bulgaria


These training programs should be conducted for unemployed people under the age of 30, because it is very difficult for university graduates to find a job within the country. Another government action is to sponsor employers to provide a graduate with a job even without working experience. At the same time, government should try to fine tune cyclical unemployment, by taking preventive measures. In the long run government and foreign investment in many different projects, like infrastructure, will boost the quantity demanded of products and services in the markets, which will lead to more investment and increase GDP growth and reduce unemployment (Georgieva).
             One way the government is trying to reduce unemployment is by creating new infrastructure projects. They are investing 2.2 billion-dollars on roads, airlines, rail lines, and telephone lines (Washington). A well-developed infrastructure is an important factor in competitiveness since it reduces the costs of doing business and encourages private investment. Also the creation of a national security infrastructure in Bulgaria will be an important milestone (Washington). It will make administration more efficient and will help Bulgaria's entry into the European Union. Despite the progress that has been made, Bulgaria is still far behind developed countries. .
             Another policy that the government is doing is the Privatization of state owned assets. The privatization act was passed in 1992(Prohaska). Despite the progress, the economic environment in Bulgaria was not conducive to privatization until 1997 when the newly elected officials took over the country (Prohaska). Before this time, high inflation, high interest rates, an unstable banking system and an undeveloped financial sector were the rule. In 1996, mass privatization became the most popular type. This system is less expensive, but it does not give workers control of their companies (eabg.


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