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Why infrastructure matters - Case of Via Carpatia by alexvan

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· @alexvan ·
$7.14
Why infrastructure matters - Case of Via Carpatia
<center>![image.png](https://images.hive.blog/DQmV2JnGyiryQL6TEFfHruVrG4y4LQjTTHfbo1oDTWnTyj6/image.png)</center>
<center>[Via Carpatia - Source](https://eurobuildcee.com/en/news/28449-via-carpathia-further-down-the-road)</center>

Hi,

today I wanted to do a post about a theme that I love, economical evolution. One very important aspect of economical evolution is the maturity of it's infrastructure and how it is maintained. 

One good case to see is Central Europe. As Europe is mostly declining due to aging population, socialist governments in the western part of it with suffocating political correctness and intoxicating sjw stuff, the center of it is still growing. 

In the past 30 years this region developed faster in economy than the governments ruling them. As an example, this region has one of the fastest internet speeds in the world. One can say that it is because of this as everything is newer than in the western part, but we have the former Eastern Germany where internet is slow. This is due to the fact that there was a free market after the downfall of the Iron Curtain because of the failed states and governments. It was a wild capitalism where the market offered some good opportunities for the very tough ones.

The internet is a part of infrastructure that can be build up by private parties, like we see it with the blockchains, very fast development without involvement of governments.

For me a government has to do few things,take care of safety, education, health, infrastructure and let opportunities come and evolve to a place.

One way to let opportunities come is to create the right infrastructure. During communism, the infrastructure of Central Europe did not develop. The communist have been afraid that the people could move freely and spread ideas, so they did not build highways. In ex-communist countries on most of the city exits one can observe train or tram crossings which in case of a revolution that city could have been sealed off easily. In Western countries most train crossings are history.

Now that the region is developing at an accelerated rate, there is a need of infrastructure development. The roads from East to West are almost completed, but there is another highway, which might be of more importance, the Via Carpatia, which crosses Central Europe from North to South connecting the Baltic, the Mediterranean and the Black See. It is covering the BABS countries (BAltic-BlackSee) together with Greece which was isolated in the cold war.

When this highway is build, the region will explode and I think a lot of production will be relocated from  Asia and from Western Europe as the labor is still cheap and it can satisfy the European market without taxes as all countries are in the EU. Also it will drain the skilled workers from the nonEU countries in the area, like the ex-Yugo and ex-Soviet states. This is why this piece of infrastructure matters.

It is fortunate for the EU to have a counterbalance to the Western socialism as this countries don't care about political correctness and believe me, they are more fun.

<center>https://images.hive.blog/DQmZPr4hR3gSAiy5so6igJkAJP66K8gpN26kYYNeJZAruay/pg%20divider2-03.png</center>

Here comes the interesting fact, as the most stocks are considered coming from an emerging market most shares are flying under the radar and they have very high potential in terms of ROI. Also land is cheap and the soil is fertile.

Founding here a company might be a hustle but it comes with low taxes and sometimes with local subsidies. 

The Eldorado years are gone as this have been 30 years ago, now it is a steady growing market with a population who affords more from life and expects a different service.

Let's see how Germany evolves as I might move to one of this countries.

Would you invest in upcoming emerging markets?

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@daneriksson ·
Thanks for an interesting perspective. I do believe there is a great future ahead for central and eastern Europe, especially if they can overcome old conflicts and chauvinism and find ways to work together.
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@alexvan ·
$0.56
I see it the same way. The conflicts are still around as there has never been peace after the Romans left. There is the Serbian-Kosovo conflict, the Macedonian dispute and so on...I wish there would be faster peace in Europes melting pot.

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@holybread ·
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@oldtimer · (edited)
Very interesting article. Coming from ex-YU I'm skeptical about investing in this area.

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@acesontop ·
Belgrade or some other area?
I live a few kilometers near Serbia btw.

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@oldtimer ·
I used to live a few kilometers near Italia.

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@alexvan ·
Where are you from in the ex-YU space. I was born and raised about 80 km near the Yugo border (20 km to Hungary). The area is developing, but it is developing different. 

Slovenia has the best outcome, being one of the high-tech manufacturing countries for Western Europe. Croatia has tourism that is growing steadily like Montenegro. Bosnia some tourism and it is struggling.
Serbia has managed to develop the highway network and some industry as labor is very cheap.
North Macedonia is growing in manufacturing in the automotive industry, but far from Serbia. 
Kosovo is very poor and does not manage to use it's richness in natural resources.
Main problem for Montenegro, Serbia, North Macedonia and Kosovo have the disadvantage of using the Cyrillic alphabet, which hems investors.

It has potential, with a lot of risk due to the ethnic tensions,but still in a strong growing phase. Endemic corruption is still a risk.If I would to buy something,I would go for places on the Adriatic coast.

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@poshbot ·
https://twitter.com/Alex\_van\_Munich/status/1353154604263989249
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@steemmillionaire · (edited)
$0.04
Romanians have no interest to build a highway from Calafat to Lugoj, and might even fight against it, as it might make the Constanta port irrelevant (with container ships coming from Thessaloniki). I know the struggles with the Calafat bridge, and most probably the bridge will be connected via express roads and highway to Sibiu, via Pitesti. A kill point for the Via Carpatia
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@alexvan ·
Well, Romanians should have interest of building it. If Constata would be that relevant, it would have been connected already to the European highway network. Thessaloniki is not the major port in Greece, Pireas is and both are connected via highways to the Europe via North Macedonia, Serbia an Hungary. In terms of ports, Constanta is not in any top20 relevance in Europe, because of  it's position and the friendly sea neighbors that see the Black Sea as their own lake.

So I think Romanians shall fight forth this highway as it will connect the country to the other growth economies in the area. 

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@steemmillionaire ·
> North Macedonia, Serbia

I'm not an expert in international shipment, but as long as these two are not in EU, I expect it to be difficult to transit 
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