REGIONAL ECONOMY DEVELOPMENT ISSUES IN ARMENIA

The latest world financial economic crises impact to Armenian economy development and as a result,   after several years of double-digit economic growth, Armenia faced a severe economic recession with GDP declining more than 14% in 2009, despite large loans from multilateral institutions. The economy began to recover in 2010 with 2.1% growth, and picked up to 4.6% growth in 2011, before slowing to 3.8% in 2012. Sharp declines in the construction sector and workers' remittances, particularly from Russia, led the downturn economy particularly in Armenian regions.

Migration Risks Influence on Human Capital Reproduction in Armenia

        Human capital reproduction process is becoming actual on period of active mobility labor forces and integrations inter regional markets. The process of formation scientific based economy is bringing new challenges for using efficiently human capital, making optimal investments in relation to enlargement skills, ability and quality assurance of employment forces. However, the human capital reproduction process includes migration impact risks, concerning to manpower drain from developing countries, reevaluations of employability demands in labor markets, which is more obvious in Armenia. In fact, the country has faced tremendous social economy changes in post independence period. The substantial changes in economic and social sphere of early 1990's had a direct impact on human capital reproduction process through demographic situation in Armenia. 

Tax Accounting US-RA Comparative Interpretation

Income tax requirements differ considerably from jurisdiction to jurisdiction. The application of the existing requirements to these different circumstances can be difficult, resulting in complex and potentially diverse interpretations. The Accounting Standards of the Republic of Armenia which have been adopted by the Ministry of Finance and Economy and are based on IAS (International Accounting Standards). The common approach for accounting for income tax shared by IAS 12 and SFAS 109 (US GAAP) is the temporary difference approach.  However, the standards provides for exceptions to the temporary difference approach relating to the recognition and measurement of deferred tax assets and liabilities and the allocation of tax. The international accounting standards board constantly working on to remove any exceptions to the temporary differences resulting in simpler requirements based more on principle.