POLAND 2011-updated

 

POLAND 2011

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ILLUSTRATION OF THE NECESSARY ACTION OF PROGRESS FORCES TO PREVENT THE MOVE TO THE RIGHT WING OF THE EUROPEAN UNION

 

COMPARATIVE STUDY: Reference France

BY Didier Bertin - October 30, 2011

Society for the Promotion of Social Rights and Human Rights of the European Union

 

Attempt of interpretation of the paradox between the high level of poverty in Poland, the largest member state of the Eastern European Union, and the conservative orientation of most of its voters

 

It appears that since the end of communism more than 20 years ago, nine of the ten former communist countries (except Slovenia) that joined the EU in 2004 and 2007 (Romania and Bulgaria), continue to live in a deep under-development and their peoples generally suffer from great poverty at the heart of a developed Europe. Despite their difficulties the peoples of these nine countries elect Rightist majorities, which tend to aggravate their suffering.  Two of these nine countries have even brought the Far Right to power (Hungary and Lithuania).

To understand this phenomenon, we chose to study more carefully the case of Poland, which is the most populous of the 10 former communist countries, which joined the European Union. This approach is important because these countries not understandably strengthened the move to the Right wing of the European Union policy at the expenses of their peoples.

 

1-EVOLUTION OF POLAND


Poland emerged from the 10th century and experienced a growth period in the 16th century and then was partitioned following various treaties between Russia, Prussia and Austria. Poland became independent in 1918 but was included in the Soviet control area control after World War II as a result of the Yalta agreements.

In the eighties, the Union “Solidarity” challenged the authoritarian central government and then won the election in 1990 after the end of the Soviet era.

The union "Solidarity" has worked closely with the backward Polish Church and allowed Poland to regain its freedom while engaging a paradoxical process of destruction of the national structure of solidarity such as public utilities, public services and labor regulations.

Gradually the government intervention, public services and the protection of workers have been significantly reduced. These changes are now the source of pauperism in Poland.

Poland has entered the worst form of capitalism based on the exploitation of workers with no innovation or positive initiative from companies and with a State that has almost disappeared from the social and economic stage.

Many foreign companies, especially French and German companies have come to Poland to take advantage of low wages of workers.

Poland joined the EU in 2004 as one of its poorest members and refused in 2007(with the United Kingdom) to apply the Charter of Fundamental Rights of the European Union for reasons unfavorable to the Polish people. European Union took the responsibility of this iniquity in authorizing it in an appendix of the Treaty of Lisbon signed on December 13, 2007.

This unfair exemption was paradoxical since one of the main objectives of this treaty was the strengthening of social rights and human rights in the European Union by giving a formal aspect to the Charter of Fundamental Rights.

The people of Poland have been freed from communism, without obtaining more than 20 years after, the purchasing power that would enable them to benefit of it in a tangible way.

As in the days of the Cold War in Europe we are witnessing a struggle between ideologies, which gives priority to economic models of organizations and consider in secondarily the welfare of peoples of the European Union.

 

2-THE PEOPLE OF POLAND

 

a-    Lack of ethnic diversity

Today, Polish people constitute about 97% of the population. In 1939, a Jewish minority accounted for 8.6% of the population, but has almost disappeared at the end of World War II because of the Holocaust. Poland has lost an essential element of its cultural and ethnic diversity as well as of its creativity, although the Jewish minority was poorly tolerated and is represented today, despite its almost total extinction, by anti-Semitic caricatures on sale in all the Souvenir shops in Poland.

 

b-    Religion

A system of unique thought very heavy on the ground

Nearly 90% of Poles are Roman Catholics with a unique feature in Europe, which is that 75% of the population has a regular practice of that religion. As in all Slavic countries, Christianity is a relatively recent and arrived in Poland in the year 966.

In fact the “practice” dominates the substance of religion and consists of rites, symbols and traditions leaving behind any philosophical or ethical message.

The Church is closely linked to the State and people can be led to fatalism, with the exception of the struggle against communism considered a direct competitor. As in Greece, the Church has contributed to the preservation of the Polish identity under foreign occupation, but the price of this advantage is heavy.

The ethnic restriction and religious practice are probably the source of racism and anti-Semitism alive in this country.

Anti-Semitism is part of the habits and traditions, and despite the Holocaust, which resulted in the almost complete disappearance of the Jewish population; the plastic anti-Semitic caricatures of Jews represented with gold in the hands are of usual souvenirs which can be bought in all Souvenirs Shops of Poland as a typical gift from Poland. These plastic caricatures are prominently exposed in the windows of these shops. When people create a new business they may acquire such a caricature assumed to attract money.

The backward religious practice slowdowns the access to modern spirit, tolerance and innovation and could explain the lack of reactivity of the Polish population facing now the intolerable iniquity in the social field.

Jonasz PALIKOT could symbolize the revival of Polish thought because he surprised Poland in the last election on October 9, 2011in obtaining 40 seats out of 560 for his group on the basis of an anti-clerical program advocating independence from the Church and the right to abortion. His political group made its first appearance at the recent 2011 elections.

The excessive presence of the Church could also be due to the fact that Poland is still a very rural country. Only 61% of the population lives in cities as compared to 85% in France and there are only two big cities according to European criteria: Warsaw: 1.71 million inhabitants and Krakow: 756 000 inhabitants.

Agriculture provides 37% of jobs with a productivity of only 36% of that of France. Permanent crops are produced on 1% of land (2% in France).

 

3- PUBLIC HEALTH

 

The life expectancy in Poland is only76 years as compared to 81.2 in France. The young population under 14 is significantly lower than that of France and the overall population is aging and declining. The population decrease is amplified by the emigration abroad. The public health has a very tight budget of 632 Euros per year and per capita as compared to 1011 Euros in France.

In the public sector, the waiting time for cares depends on the administrative availability. This may involve a necessary use of private medicine for people without financial means but wishing if possible, to avoid health or fatal risk. Of course the private medicine is fully at the expenses of the people.

The private health care system's prices are roughly similar to those of France but of course without any refund.

Physicians are not embarrassed to ask 30 Euros or more non-refundable to people whose average salary does not exceed 575 Euros. They will probably go then to the Church without problems of conscience.

The luxury cars that can be seen in Warsaw are probably paid by a levy on the restricted livelihoods of the population.

 

4 - LEGAL PROTECTION OF CITIZENS

 

A legal system had to be adapted after the fall of communism and does not seem to have reached maturity. Recourse to justice is probably beyond the financial capacity of normal citizens. In addition, the Polish authorities have denied their citizens the benefit of the Charter of Fundamental Rights of the European Union.

Regulations of labor do not seem exist in practice. The dignity of workers is not respected (Special case of distribution companies) and any litigation typically involves the immediate dismissal of the complainant together with the halt his financial resources necessary to exercise his rights.

Wages are often paid in cash and therefore the payment by employers of payroll taxes is unclear.

The government has given complete freedom to employers and workers are forced to accept any conditions for survival and fear of unemployment of 12.1% in 2010.

Employment at such a low price could be regarded as disguised unemployment for a significant part. The economy of Poland is based on negligible labor costs, which may disguise substantially the reality of unemployment as well as the profitability of companies.

In fact higher wages may force the Polish companies to be more innovative and profitable. In fact businesses may remain alive out usual economic criteria since the labor cost is negligible. The Economy in Poland is thus partially artificial.

Firms may exist without real innovation and solid added value and run by unqualified entrepreneurs.

The Portuguese industry was also based on low labor cost and has demonstrated that the low wages do not give companies a guarantee of economic viability. Innovation and know how are better guarantees of viability than the exploitation of people.

Adherence to the Charter of Fundamental Rights should be a precondition for accession to the European Union. The exemption of a country is a violation of Human Rights by the European Union of the people of the exempted country.

The Poles seem to have a limited ability to respond to the threat of their Rights. When workers in supermarkets were humiliated and dismissed, the unions were unable to protect them. The population who elect rightist majorities does not demonstrate often. The only demonstration we have witnessed in 2010 did not concern welfare, but the request of an installation of a huge crucifix on the door of the presidential palace in memory of the catastrophe of Smolensk and of the late reactionary President Lech Kaczynski.

 

5-GOVERNMENT

The parliament has traditionally been in the hands of the right wing and the last elections have confirmed this trend. Since October 9, 2011, the Parliament is under the control of the conservative rightists of the PiS : 29.9% of the seats and of the Center rightists of the PO: 39.2% of the seats. These Both right-wing parties controlled 69.14% of Parliament.

The rightist and non-interventionist government is illustrated by its low public budget and thus its inability to play a major part in the country.

The government raises a very low level of taxes of 17.7% of the GDP as compared to nearly 49% in France. The tax revenues are limited to 58 billion Euros while the Gini index is higher than in the UK and suggests that there is potential for much greater tax revenue, which will reduce social inequalities that reflects this index.

The public budget is a function of taxes revenue and amounts thus to only 60.6 billion Euros. This budget does not permit the application of a real social policy and fight against poverty, and does not even permit to maintain the existing infrastructure.

The government in Poland has an almost symbolic existence as a result of the size of its budget and of its reluctance to intervene. Workers are left without defense righst in front of the employers.

The government has not  the necessary tools for a good governance, which is  required by the terms of the Charter of Fundamental Rights; which was denied to the Poles who must find themselves ways to survive.

 

6-POVERTY IN POLAND

Officially 17% of Poles live below the poverty line.

In a country where prices are high (many consumer goods are imported), the minimum wage is indecent and amounts to 320 Euros per month for 40 hours of work per week or 20% of the French minimum wage calculated on 40 hours of work per week.

The average salary is about 575 Euros and do not allow either a decent life.

The poverty line is typically 60% of the median wage, but when wages are too low, this criterion makes no sense.

A Polish manager earns on average 20% above the poverty line in France, i.e. 1150 Euros, which is below the minimum wage in France.

"As in the days of communism in the sixties, three generations can share the same small flat because wages are not sufficient to pay rent."

In fact according to the European standards we may consider that the majority of the Polish population lives probably under the poverty line.

In a so poor country, the Gini index is very high at 0.344 / 1 and gives an indication of high inequality in income distribution.  Among the 27 countries of the European Union, only four countries, including three former communist countries have a Gini index higher than that of Poland: Latvia, Lithuania, Bulgaria and Portugal.

We remind that the higher is the index, the greater is the disparity between the incomes of the population. The Gini Index is high in France with 0.327 / 1 as compared to that of Germany of 0.27 / 1 and to that of Sweden of 0, 23 / 1.

 

7-ECONOMY

GDP per capita is only 8,897 Euros as compared to 28,878 Euros in France. The fact that it has greatly increased as a percentage is irrelevant when the figures in value are too low.

For a country of the size of Poland, the GDP should be at least 770 billion Euros, not 342 billion as it is today.

Communism does not explain all woes of this country.

Poland does not produce enough in the fields of industry and services. In 20 years, heavy industry was dismantled but not replaced. It is clear that for over 20 years, politicians and entrepreneurs have shown that they were not sufficiently skilled in the field of productive investments.

We suggest that European experts in all fields work very closely with the Polish government and the main entities of their economies to give directions to follow in order to compensate for the huge insufficiency of the GDP and this for sake of the interest of the polish people in distress.

All assessment are distorted by the low cost of labor and the good ratio between the share of industrial GDP and the share of employment in this sector is also a result of the negligible cost of labor.

Agriculture accounts for 17.4% of employment and only 3.4% of GDP, compared to 2% and 3.8% for France respectively. Although agriculture is still a substantial part of the activity of the population, permanent crops use only 1% of the land.

The service utilizes only 54.3% of the labor Force, which is low and reflects the lack of development and produces 63.5% of the small Polish GDP, which low in value and in proportion. The balance of current account is probably negative due to a negative balance of services.

The unemployment may blow up at any time given the precarious nature of the economy based on exploitation of the people paid at the border line of survival.

Government debt is limited, taking into account the low borrowing capacity of the country but also the clear will of the government not to play a tangible role. Foreign debt is practically limited to the public debt because apparently there are no other acceptable borrowers than the State.

The export figures represent a significant portion of GDP: 34% because GDP is far too low. The exports cover the high needs in imports due to limited production in Poland.

The current account balance is in deficit of 11.6 billion due probably to a large deficit in the balance of services resulting from the insufficient economic development.

 

8-INFRASTRUCTURE

The phone system is inadequate and the lack of investment in this area was offset by the significant development of mobile telephony, but coverage is not good everywhere and some areas are not covered at all. The wiring is still required in the field of optic fiber.

The airports with paved runway longer than 900 m are limited to 80. Paved roads are limited to 295 000 km (951 000 km in France with a territory twice as big)) and are poorly maintained. The highways are negligible in Poland.

The long distance communications are difficult and hinder economic development.

 

CONCLUSION

 

 

1-The low level of investments does not enable Poland to produce half of a minimum GDP in line with its size

 

2-The government has abandoned the country with a totally non-interventionist philosophy and a ridiculously limited budget

 

3-The small current economy is entirely based on the maximum exploitation of the Polish population reduced to a high poverty in the European context. The state aid to the population is low. The economic situation could be worse than during the communist era.

 

4-The workers are mistreated by the lack of any real legal protection and the Polish government has denied its people the benefit of the Charter of the Fundamental Rights of the European Union, with the inexcusable agreement of the European Union.

 

5 The infrastructure is not properly maintained and is a negative factor for economic development.

 

6-the-church is invasive and probably encourages people to accept their fate.

 

We suggest steps in order to save a people in distress:

 

1-An immediate-adherence of Poland to the Charter of Fundamental Rights of the European Union, which would normally lead to a better legal protection of workers, the setting aside of the Church and the obligation to apply a good  governance.

 

2-The taxes should be raised in order to reduce the inequalities and to give the Government a budget in line with requested good governance.

 

3-The Government and enterprises should be assisted by European experts in all area in order to select the adequate investment to raise the value of the GDP.

 

4 The media should be encouraged to inform the people of their real problems instead of focusing indecently on the question of a Crucifix on the door of the Presidential Palace.


Below appendices:

 

POLAND

Bicameral Republic

16 administrative provinces

FRANCE

Bicameral Republic

27 administrative provinces

HISTORY – GEOGRAPHY-NATURAL RESOURCES

 

Poland emerged in the 10th century and knew a growth period in the 16th century and then was partitioned following various treaties with several countries: Russia, Prussia and Austria .It became independent in 1918 but was included in the Soviet control area after World War II following Yalta’s agreements. In the eighties the Union Solidarity was in frontal opposition to the central and authoritarian Government and won the elections in 1990 after the soviet era.

The Union “Solidarity” collaborated closely with the backward Church. Eventually the polish process of transforming the economy into a free market has partially destroyed the solidarity system by weakening the public services and the working regulations. These reforms have today as a consequence a deep poverty of the population. Poland was accepted as member of the European Union in 2004 with 7 former communist countries, which were joined by two others in 2007.

Poland has thus acquired the freedom but not the purchasing power to enjoy it completely.  

 

From 481 to 535, the Frank Germanic tribes conquered most of Gaul. The name France was confirmed in 1205 during the dismantling of the Carolingian Empire. In the first millennium France included Celtic, Latin, and Germanic peoples, who eventually accepted the Latinized culture left by Rome. The territorial unity was consolidated in the second millennium and achieved by the Revolution. France has built a national identity that allowed it to integrate large minorities from several continents where it had formerly colonies. After WWII France has established a strong partnership with Germany, which was the basis of the European Union. France is a leading economic world power. France includes 5 overseas territories

AREA: 312,685 sq km

AREA : 643,801 sq km;

COASTLINE: 440 km 

COASTLINE: 4,853 km 

LAND BOUNDARIES: 3,047 km

Longest border with one country :

Czech Republic:615 km

LAND BOUNDARIES : 4,072 km

Longest border with one country :

Brazil: 673 km

NATURAL RESOURCES : coal, sulfur, copper, natural gas, silver, lead, salt, amber, arable land 

NATURAL RESOURCES : coal, iron ore, Bauxite, zinc, uranium, antimony, arsenic, potash, feldspar, fluorspar, gypsum, timber, fish, gold deposits, petroleum, kaolin, niobium, tantalum, clay 

LAND USE : arable land: 40.25%

permanent crops: 1%

other: 58.75%

LAND USE : arable land: 33.46%

permanent crops: 2.03%

other: 64.51%

ENVIRONMENT 

A BETTER ENVIRONMENT DUE TO THE PARTIAL LOSS OF INDUSTRY

Situation has improved since 1989 due to decline in heavy industry during the post-Communist governments.

Air pollution nonetheless remains serious because of sulfur dioxide emissions from coal-fired power plants, and the resulting acid rain has caused forest damage; water pollution from industrial and municipal sources is also a problem, as is disposal of hazardous wastes;

Forest damage from acid rain; air pollution from industrial and vehicle emissions; water pollution from urban wastes and agricultural runoff

 

POPULATION

POPULATION:38.44 millions

POPULATION:65.31 millions

 

Ethnic groups : Polish 96.7%, German 0.4%, Belarusian 0.1%, Ukrainian 0.1%, other and unspecified 2.7% (2002 census).

In 1939 Jewish minority amounted to 8.6% of the population and 0% today as a result of the Holocaust. Poland lost an essential component of its diversity and culture despite this minority was not well accepted.

Poland is ethnically not diversified especially after the Holocaust.

 

Ethnic groups : Celtic, Latin, Teutonic, Slavic, North African, Indochinese, Basque, black, mulatto, East Indian, Chinese, Amerindian.

Many western European countries see their population aging and reducing. The strength of France is its diversity and an open conception of citizenship brought by the Revolution.

 

Religions : Roman Catholic 90% --with 75% practicing regularly .The polish practice is far from the substance of the religion and replaced the religion itself. It is a filter through which the external events are viewed.

Eastern Orthodox 1.3%, Protestant 0.3%, unspecified 8.6% (2002)

Religious practice and ethnic restriction is source of antisemitism and racism- e.g. caricature of Jews with gold in the hands are on sale “today” in all the Souvenir Shops of Poland as a typical gift from Poland. Religion is an invasive factor damaging the assessment of the reality and might explain the lack of reactivity towards the very painful life imposed to the people. Christianization is recent: year 966.

The surprising election of the group of Janusz Palikot on 9 October 2011 is may be a signal of the awakening of the people against the Religion. 

 

Religions : Roman Catholic 83%-88%, Protestant 2%, Jewish 1%, Muslim 5%-10%, unaffiliated 4%, Hindu, Buddhist, pagan.

Christianization: Baptism of Clovis in 498

Christianity may represent today a cultural reference and often not a religious practice. The reality is thus not masked or troubled by it.

 

URBANIZATION 

 

Urban population: 61%

Main cities

Warsaw area: 1 710 000 inhabitants

Krakow:             756 000

 

Improved sanitation access : 90%

Poland is thus still a very rural country with a very low productivity in agriculture 

 

Urban population:85%

Main cities

Paris area:     10 410 000 inhabitants

Marseille-Aix: 1 457 000

Lyon:                1 456 000

Lille:                 1 028 000

Nice-Cannes:       977 000

Improved sanitation access : 100% 

 HEALTH

 

Median age:38.5 years

Tranche:0-14 years :14.7%

Population decrease rate:-0.06%

Net migration deficit:-0.47 per mille

LIFE EXPECTANCY:76.05 years 

Females: 80.25 years  Males:72.1 years

Age structure and life expectancy is due to the poverty and to the bad quality of social and health services 

 

Median age:39.9 years due to longer life

Tranche:0-14 years:18.5%

Population growth rate:+0.5%

Net migration:+1.46 per mille

LIFE EXPECTANCY:81.19 years 

Females:84.54 years -Males:78.02 years

Physician density:2.14/1000

Hospital beds:6.6/1000 (with insufficient equipment)

Health expenditure per capita:

632 Euros

High prices in Poland and objective needs made more understandable absolute values than GDP proportions.

Price of private medical consultation in Warsaw: 30 Euros or more not repayable as compared to 23 € in France repayable - The other private healthcares prices are quite similar to those of France but are not repayable.

The waiting times are not in line with the troubles but with administrative availability with health or life risks. This may involve the recourse to private sector when possible.

Obesity:18%

Infection risk disease: food or waterborne diseases: bacterial diarrhea vector borne disease: tick-borne encephalitis 

Physician density:3.50/1000

Hospital beds:7.1/1000

Health expenditure per capita:

1011 Euros

 

Most of healthcare costs are repayable by the Health National Insurance.

 

Obesity:16.9%

 

EDUCATION

Literacy :99% 

Compulsory education age:15 years

Expenditure per capita :436 Euros - High prices in Poland and objective needs made more understandable absolute values than a percentages of GDP

Literacy :99% 

Compulsory education age :16 years

Expenditure per capita :1 617 Euros

 

GOVERNMENT

 

LEGAL SYSTEM: CIVIL LAW to achieve

Poland has refused to adopt for its people the charter of Fundamental Rights of the European Union. Polish citizens are not thus as protected as the other peoples of the State-members (Except UK).

The acceptation of the Charter of Fundamental right must be a prior condition to join the European Union.

 

LEGAL SYSTEM: CIVIL LAW

Charter of Fundamental Rights of the European Union

PARLIAMENT: The Senate includes 100 seats.

The house of representatives is named SEJM and includes 460 seats. The SEJM has the last word right in case of disagreement with the Senate as in France. SEJM’s elections took place on 9 October 2011 and the next elections will take place in 2015-

SEJM composition since the last elections:

PO –Center Right ((President Donald Tusk): 207 Seats =39.2% -PiSVery conservative Party (President Jaroslaw  Kaczynski) 157 seats 29.9% -RP –new party formed by Janusz Palikot-40 seats -8.7% - Janusz Palikot came from the PO with ideas of independence from church, including abortion right–- PSL –Peasants Party:28 seats =6% -This Party is sometimes on left side and sometimes on right side--SLD (Left wing) 27 seats (5.9%)  only –German minority:1 seat-

Despite their difficulties to survive Polish people have elected a rightist majority in SEJM .

People still react on the basis of the past, which is far now and on the Church influence with its fatality philosophy. The sudden and substantial success of Janusz Palikot remains the sole and unexpected and positive event of the elections.

PARLIAMENT: In 1ST October 2011 the left wing has obtained the majority of the Senate 177 seats (143 for the Socialist Party) and 171 seats for the right wing.

 

 

The national assembly (577 seats) includes  UMP(right) 307 seats –New Center 24 seats-Independent MPs: 9 seats –The Socialist Radical and citizen Parties (Left) 197 seats –The democrat and Republican left:25seats and 15 vacancies -The right wing has a comfortable majority since 2007 but a change of majority is forecasted for June 2012

 

ECONOMY

2010 GDP: 342 BILLION Euros 

GDP PER CAPITA: 8 897 EUROS

(Non Wheighted official value) 

2010 GDP 1886 BILLION Euros

GDP PER CAPITA:28 878 EUROS

(Non Wheighted official value) 

 

Poland achieved only 31% of the French GDP per capita. 

GDP Figures are the official absolute values without weighting by purchasing parity since this adaption becomes doubtful and ideological taking in consideration the local prices.

CIA Factbook seems favorable to the very capitalistic economic choices of Poland and increased the GDP per capita to 13 724 Euros. We cannot retain this figure for sake of reality.

Since 1989 the heavy industry declined during the post-Communist governments.

We have noticed in the country that the prices of food, electricity, telephone, healthcare, clothing, and housing are expensive and often similar than those of France where competition is much more efficient.

 

 

2010 GDP INCREASE: +3.8% P.A.

This substantial figure is due to the very low level production; in fact this increase amounts to only 338 Euros per capita- A high percentage of a low figure may be also a small figure and the analysis of percentages becomes meaningless. This is sometimes the case in emerging countries. Percentages are the easiest way to underline a trend in any desired way.

 

2010 GDP INCREASE:+1.5%

A low figure of 1.5% means an additional value of 433 Euros per capita i.e. 28% more than the value due to the high polish increase rate.

 

 

GDP AND EMPLOYMENT PER SECTOR

 

GDP AND EMPLOYMENT PER SECTOR

GDP

EMPLOYMENT

GDP

EMPLOYMENT

Agriculture:  3.4%

17.4%

Agriculture: 2%

3.8%

Industry:      33%

29.2%

Industry:    18.5%

24.3%

Service:       63.5%

53.4%

Service:     79.5%

71.8%

Agriculture productivity is particularly low and involves a great poverty in this sector Productivity is 37% of that of France.

.

The employment in services is only 53.4% and reflects an insufficient general development.

We notice an unfavorable ratio for industry in France in percentage of GDP as well as in relation with employment of 76%. France should increase its industrial share of the GDP and its productivity. In Germany industry represents 27.8% of GDP and employs 29.7% of workforce. The ratio is thus 94%.

Gross fixed invetissment:20.8% of GDP

i.e. 71 billion Euros

Gross fixed invetissment:19.3% of GDP i.e. 364 billion Euros

POVERTY

 

2010 Unemployment:12.1%

 

2010 Unemployment:9.3%

POPULATION BELOW POVERTY LINE:17%

Gross minimum wage:  1386 PLZ

= 320 Euros per month for 40 hours of work per week i.e. 20% of the French minimum wage. 

Average wage is in the vicinity of 2500 PLZ i.e. 575 Euros which does not permit a decent life.

As in the time of Communism three generations may share the same small flat because the wages do not permit to pay full rent.

The poverty line is normally 60% of the median wage but when wages are too law it is meaningless to retain this criteria.

The wage of a manager is 1 150 Euros which is smaller than the French SMIC and 20% above the French poverty line.

Taking into account the prices and the high quantity of consumer goods imports we may deduct that more than 50% of the population lives under poverty line

POPULATION BELOW POVERTY LINE:6.2%

Gross minimum wage:  9 Euros per hour

=1 584 Euros per month for 40 hours of work per week

On a basis of median wage of 1600 Euros the poverty line is 960 Euros in

 

GINI INDEX:34.2 

The Gini index reflects a substantial iniquity in the distribution of the households’ revenues

 

GINI INDEX:32.7%-This index is too high in France as compared to that of Germany(27%) and that of Sweden (23%)

PUBLIC BUDGET

 

The poverty and the lack of sense of reality of the Right wing led the authorities to raise a very low level of taxes of 17.7% of 2010 GDP

2010 TAXES were 58 billion i.e.1 509 € per capita. Taxation is only 36% of the French percentage. This increases poverty by reducing the public services and magnify inequality between people. The low budget does not enable the government to apply good governance as this is requested in the Charter of Fundamental Rights. 

 

Revenues from taxes: 48.8% of 2010 GDP 

TAXES=823 billion Euros – 12 603€ per capita to be compared to the 1 509 Euros per capita in Poland.

 

Budget revenues:60.6 billion Euros 

This corresponds essentially to the low level of taxes. Per capita : 1 576 Euros

Budget revenues:920 billion Euros 

This corresponds essentially to the level of taxes  capita: 14 087 Euros

Budget expenses:71.3 billion Euros

Per capita :1 855 Euros

A so low level of expenses does not permit the Government to play a social and economic part and to prevent poverty increase, to guarantee the public service quality and cannot even maintain the current infrastructure.

This weak State in Poland cannot fulfill its obligations and the analysis of the Budget deficit and Public debt is meaningless in this context.

Expenses:1 050 billion Euros

Expenses per capita: 16 087 Euros

Public Debt:181 billion Euros

Public Debt:1 554 Billion Euros

The sole Polish entity able to borrow abroad is the State. Before increasing debt to fill its duty, the state should increase its revenues by the way of taxes.

Poland has a single “A” rating, which is meaningless on its own merits and which is probably related to its European Union and NATO memberships.

The French State intervenes more heavily in the economy but not enough. The public resources are much bigger but not enough in order to reduce the inequalities shown by the Gini index and to spur the industrial investments. More taxes should also permit to reduce the recourse to debt.

Poland went out of Communism to go to an extreme wild Capitalism.

Polish people were not prepared to face such a system. When workers of supermarkets were humiliated and fired, the Unions were unable to protect them. The population does not react easily The sole demonstration we have witnessed in 2010 was in favour of the Installation of a huge crucifix on the door of the Presidential Palace in memory of Smolensk event and of the late reactionary President Lech Kaczynski.

The President Bronislaw Komorowski rejected this request from the mob standing during months in front of the Palace and who were substantially covered by the Medias, which neglected the real problems.

 

INFRASTRUCTURE

Landline telephones:9.55 million

The country is underdeveloped in the field of landline telephones -0.25 telephone per capita

Landline telephones 36.44 million

All families and companies have a landline telephone- o.56 telephone per capita

Mobile Phones: 44.5 million

As in Africa the country has compensated the lack of landline telephone infrastructure in developing the mobile phones but the coverage is often not of good quality and many areas are not covered. The wiring remains necessary for the optic fiber..

Mobile Phones:61 million

Internet users: 22.4 million

Internet users:45.3 million

Airports with paved runaways of 900 m at least: 80

Airports with paved runaways of 900 m at least: 221

Standard Railways: 19 000 km

Standard Railways:29 500 km

Paved Roads : 295 000 km 

Roads are not correctly maintained and polish people choose cars accordingly at a higher price.

Interurban communication is difficult and hinders the economy.

Paved Roads :951 200 km 

Expressways: 765 km 

Poland has practically not yet expressways

Expressways: 11 100 km 

Waterways: 3997 km

Waterways :8501 km

Main Ports:4

Main Ports:7

Merchant Fleet: 10 National ships and 104 ships recorded abroad=114 ships

 

Merchant Fleet:167 National ships,

57 foreign owned ships and 146 recorded abroad= 370 ships

 BALANCE OF PAYMENTS

 

Export: 118.5 billion Euros

Machinery and transport equipment 37.8%, intermediate manufactured goods 23.7%, miscellaneous manufactured goods 17.1%, food and live animals 7.6%.

Export are eased by the low cost of work 

 

Exports :377.6 billion Euros

machinery and transportation equipment, aircraft, plastics, chemicals, pharmaceutical products, iron and steel, beverages

 

 

Import:124.2 billion Euros

Machinery and transport equipment 38%, intermediate manufactured goods 21%, chemicals 15%, minerals, fuels, lubricants, and related materials 9%.

Poland imports is an important share of its GDP to compensate the lacks.

 

Imports:431 billion Euros

Machinery and equipment, vehicles, crude oil, aircraft, plastics, chemicals

 

 

Current account balance:

Deficit of 11.6 billion Euros 

Due probably to insufficient balance of services due to low economic development.

 

Current account balance:

+39.7billion Euros

 

External Debt:196 billion Euros

External Debt:3 431 billion Euros

 

Variation of Reserves:+10.15 billion Euros

 

Variation of Reserves:+24.2 billion Euros