Wednesday, January 18, 2012

Some troubles & pending solutions of private higher education organizations (PHEO) of an economics


Some troubles & pending solutions of private higher education organizations (PHEO)
of an economics 
                 High education organizations classify into both groups: as universities having rights training at degrees of bachelor, postgraduates, masters & doctorates, & also institutes, which implements mainly bachelor’s degree training. Herein should emphasize that instead of college popularly custom to use expression of “institute” which adopted from socialistic tradition & high education classification of Russia. In the time of socialism the professional colleges of secondary education were called “college”. Criteria belongs to tutors approved by education law, in which pointed out: possessing by tutors a qualification accordable  to professional direction needed for learners, having master’s degree or PhD, having theoretical knowledge & practical experiences to teach relevant subjects, possessing methodology on science & researching work, excellent command of any foreign language needed in reading books, brochures & literature in the field of specialized profession, having lecturer’s license, possessing methodology on preparing & processing of training means, abilities to use modern facilities of  training, following  tutor’s ethics, communicable, willing to lecturing more than 3 subjects etc. By the way in the socialism a criteria of tutor’s recruiting was extremely high, otherwise tutor had to graduated from universities with honor & therefore minister who had been recalled from his/her position was choosing tutor’s position at few number of state owned universities, also majority of them were giving lectures in Russian directly. Becoming as a tutor at state owned universities is very seldom dream for everybody as they take many privileges: as buying apartment at lower cost than market price, covering with graduating programs at budget finance, taking part in seminars, conferences to be held abroad, & educating their children at state fund or state credit. However organize many domestic & multinational training for tutors at budget finance & initiative, but their door open only for lecturers, who have close friends at ministry of education & science or PhD degree.
            At present PHEO couldn’t follow these requirements on account of that they haven’t got equivalent starting conditions to compete with state owned universities, which owns a lot of valuable objects at no cost by means of management privatizations. At present for everybody open possibilities to be tutor at PHEO if he/she has master’s degree. Sometimes takes place hiring tutor with bachelor’s degree as between accreditation period, duration of which lasts 5-10 years. But difficult to find tutor for computer application because of that he/she disappoints at extremely lower wage. Moreover structure of accreditation team usually composes of rectors or deputy rectors at universities who had been chosen through criteria as membership of leading party & circle of close acquaintances. Indeed management at private college estimates at much lower level because of that its Steering board usually consists from family members of founders, who aimed to collect scholarship collectively & other receivables properly in order to save much money for buying comfortable apartments, expensive cars & constructing of building etc. For last decade number of higher education organizations has dropped twice & amounted by 95 on which positively affected accreditation implemented past year. The government has commenced construction of huge campus with all kinds of conveniences outside capital city aimed to reduce downtown’s traffic jam & form comfortable opportunities on training & researching activities for students & tutors. But impossible drive out private institutes to suburban district through administrative directive as they prefer accumulate money rather than respect social responsibilities. PHEO attempt for multiplying more money during short time, engage various kinds of activities under training title as: conducting foreign language courses which aimed to export labor forces, constructing many storied buildings with pseudonym of tutor’s dwelling houses, library & dormitory subsequently changing their primary humanitarian appointment, raising training payments with respect to inflation index on wage growth for state staffs, all-round economizing budgets for science researching & tutor’s development, cutting down numbers of tutors & their extra charge in science degree, shortening a wage of summer vacation, rejecting repayment of scholarship made in advance by disqualifiers from PHEO prior to their graduating etc.
           Takes place loosing of gender’s rational proportion between students, namely male students usually count 2-3 in group, which consists of 25-30 students. The guys prefer to work at bazaar, serve in the military force, & searching jobs abroad. In return new students, who collected insufficient admission scores choice specialties related to no fundamental science as: linguistic, law, history, tourism, human recourse & religion etc. Obviously differences exist in obtained score’s line of general admission exam by enrollers. Leavers of well known high school, who passed an admission exam successfully choice to enroll to state owned universities in first, indeed they collect maximum expected scores up to 800 at basic subjects as on mathematics, physics, biology, chemistry & English etc. Incur troubles caused by having low reputation among high education organizations, poor education management, enrollment of school leavers in despite of collected by them twice lower admission scores, shortage of training environment & few number of students & insufficient library fund etc. More 40,0 thousand pupils graduate from high schools every year, & by 80% of which enroll to whatever education organizations of any kind of levels as: higher education organizations & centers of professional training. In return more than 70% of graduates operation’s position. It’s interesting, graduates understand as for “operation’s position”: working as hireling staff at private entities or civil servant at state owned organizations. Many graduates engage personal business, but they are considered as joblessness. Hired tutors worry about that, how to give extra units to new students, they might have learnt which by high school leavers prior to enrolling, & moreover collect scholarship payment from students rapidly & completely as tutors take responsibilities for these duties.                                                          
             PHEO couldn’t take proper account in giving to students practical experiences in bookkeeping, journal entries, primary documentation, double control of tax payment & conducting financial statement analysis by hand methods owing to last period in high education financial & accounting training popularly were using e-library, on-line teaching, computer application programs for preparing financial calculations, accounting journals, & statements etc, which requires high skills for tutors in both of hand accounting & computer applications. At present teach to students of bachelor’s degree computer application programs “Pyramid” & “Interactive” etc. But however completely have been missed & lost subjects of programming on cost & management accounting, & also financial analyzing in training curriculum because of poor skills & experiences of programmers-tutors on economics.  My friend shared with me his opinion of that how to write book easily. Meanwhile he told that actually every author custom to write in both well known ways & means as: in first finds one fundamental textbook by searching through internet in Russian or English editions, distributes it among students to be translated without charge than collects its drafts, edits, finally publishes it under his/her personal name. Obviously authors ask renowned scholars, mainly PhD to edit final issue of manuscript, but however editors, who busy in his personal duties couldn’t pay proper attention into which & herein they only sign one’s name for recognizing. Besides authors extend contents of original issue of book, change title of theses, include some table, exhibition, criteria indicators, key words etc. If refer to only example, the textbook on business mathematics, contents of which exclusively cover mathematical subjects, adopted abstracts from textbook on higher mathematics, some formulas & interpretations from economics textbooks, & also understandings expressed in a book titled ”Calculus for business, economics, and the social and life sciences” in English edition. Sometimes decision makers & also state staffs of higher organs of power suffer the troubles caused with contradictions in their personal interests of activities as majority of them were investors or founders of any higher education organizations, which negatively affects on making decision with radical innovation & open humanitarian goals. As is well known Higher education law has been amended & edited many times but never included into which developments of principle with the except of financial allowances devoted to tutors & educators, who was worked in education field for long period. But herein had been missed the encouragements for tutors & educators, who hired & suffers very labor exploitations from side of employers at PHEO. However only one PHEO commenced to prepare specialists on economics in field of mining industry with foreign investment but never seem specialized textbooks for them so far, they educate learners in accordance with generally accepted syllabus as before without detailed specialization. Had passed more than 40 years since establishments of biggest mining concentrating combination which has branch school of science & technology couldn’t release fundamental textbooks of mining economics, finance, accounting & analyzing etc. It visually has been expressed on the long continued arguments of royalties in foreign investment company as for Oyu tolgoi between investors, scholars, leader miners & lawmakers, indeed it is a payment made by a producer of mineral recourses, oil, or natural gas to the Mongolian budget of the site or of the mineral rights over it. In general exist many agencies & higher departments of power, which responsible for methodological ruling of macro & micro economics, finance, accounting, banking, but hadn’t got feasible manuals, brochures, basic textbooks in the above mentioned line except of both translated books “Intermediate accounting” & “Cost accounting” at donating by Asian Development Bank in the early of 2000. Meanwhile these textbooks, which republished up to by 10 times don’t accord to present changeable open market demand, in one word they were obsolete, for example into contents of which haven’t included some developments as ABC method & ABM etc. But ABC method doesn’t become free from misunderstanding, in which also take place uncertainties, intuition, statistical random dimensions, weighted means & exist calculation elements in rounding etc. By the way our researching group already has created & put into worldwide accounting practice many unique methods as on manufacturing expenses as well as on allocations of operation expenses & also their variance analysis based on linear algebra, differential calculus, statistical index & stepwise elimination of variables successfully. Taking into account these situations we have issued modern textbooks entirely based on cost accounting modeling & applied mathematical approaches in the line of Mongolian association of chartered financial accountants, but however majority of lecturers of economics use copied & translated foreign textbooks because of they couldn’t cope with elementary mathematical conversion & strongly custom to used copying thinking as before in socialistic regime.
           As known some authorities of foreign entities interested in hiding a best methodology of cost processing, concealing of bookkeeping documentation & journals, ledgers, trying for tax evasion, objecting to renew en exploited mineral sites & also prefer changing actual data into his gain, which negatively reflects on their reputation among local citizen. E-bookkeeping, e-documentation, e-preparing any statements, e-taxation, e- transmission cash, payment, dividends, income cause troubles in supervising, controlling, monitoring of financial actual activities via initial documentations. Should be took into account that, scholars, tutors, graduates, students, who custom used to permanently ready computer calculation programs unable to cope with elementary drafts of economics graphics, calculation tables with thinkable questionnaires, & also create & develop new ideas as: economical models, formulas, methodologies, statistical or calculation tables of criteria indicators, financial engineering algorithms, suggesting of unique explanations on economics etc. Tax inspectors couldn’t impose with tax stocks sold at overseas markets by foreign investors still. Also Mongolian stock exchange by 20 years experiences couldn’t cope with selling of stocks owned by national companies at foreign exchange market so far, besides which co-operates with London stock exchange whole year. Here able to notice that weren’t written textbooks in which understandably have been exhibited calculations & graphical plotting of Jinni index, Lorentz curve, Laffer curve, Altman’s multiple Zeta index for diagnostic of solvency & bankruptcy, moreover an attaining the same computation results by using of an application of SPSS & hand calculation methods in parallel etc. On training of higher education establishment has been commenced to dominate narrow-mindedness, & also coping & translating thoughts if say briefly. On the other hand these troubles have connected with inappropriate pairing of theoretical & pragmatically tendency, irrational proportions in subjects, & weak attention on science-researching works from Academic council of PHEO. Several standards of economics subjects approved & adopted by authorized institutions don’t accord to growing requirements, demanded by employers. Staffs, researchers, tutors haven’t studied methods & ways, how to make correct decisions in unpredicted situation caused with which as: inflated prices, uncertain economic chaos, & unmanageable fluctuation of exchange rates etc. We as independent researchers are thinking of that, the global crisis which incurred in 2008 would be repeated likely & covered all continents, & their countries connected with others via internet, convertible currencies, co-operation, mutual commerce, science-technological achievements, exploitation of mineral resources, particularly fuel supply & its price etc. The tutors are seldom at PHEO, who has possessed proper command of foreign investor’s native language, needed in considering business dealing & giving professional lectures. Hired staffs, who came from abroad always conduct financial & accounting documentations in investor’s language regardless of Mongolian laws as: of accounting & auditing. Herein should be took into account that conducting & giving theoretical knowledge & practical experiences to domestic learners & graduates are dealing at rather lowest level than staff’s skills on finance, accounting & taxation, who hired by foreign investors. Mongolian controllers should possess excellent skills in the field of (1)investor’s language,(2) theoretical & practical knowledge on mining finance, accounting & auditing(3)supervising abilities using e-financial operation in parallel with hand written documentations (4)having sufficient talent on analytical considering a financial solvency for entities by means of statistical-mathematical approaches.
           As well PHEO hide all their financial & business activities, namely which conceal scholarship payments per capita of learners as oligarchic monopoly companies: dwelling construction & fuel supply companies. Herein likely the only possible way is leading into financial activities of PHEO taxation: value added tax & income tax as other business companies & it would be opened following possibilities as: decreasing of number of PHEO by means of financial method, supervising of training payment’s basis per student, draw their attention to raising of education quality instead of preferring to multiplying money or acquisition of more fixed estates. Finding any operation’s position as for graduates is actual problem. In addition to that recommendable to introduce continuous monitoring from Office of professional supervising & Accreditation commission of higher education into activities of PHEO. The long period duration of 5-10 years between both accreditations negatively influences in qualities of development & innovation on PHEO activities. Continuously announce about recruitment of skilled & experienced staffs on TV, e-mail, WEB site & news papers etc. Among them was rose a number of graduates abroad, who could be hired by employers at foreign invested entities with good salaries & socially securities.
          Although passed by 20 years since putting credit score education estimator into activities at higher education establishment, that wasn’t achieved desired effects. Standard of sub-faculty credit hours for tutors at PHEO a year twice higher than for lecturers at state owned universities, but in return monthly wage at PHEO set twice lower. Tutors at PHEO oblige to perform total 30 credit hours, including 20 sub-faculty credit hours. Some PHEO use hour wage system instead of credit estimation wage owing to second one is no profitable as for PHEO. PHEO competes with each other for more number of enrolled first year students without respect of their admission exam scores. Some little PHEO are enrolling beginner-students in more than 30 specialties regardless the permission granted by higher organ of power. Hence Accreditation commission of higher education has cancelled licenses for 14 institutes of 50 monitored PHEO last year.

Wednesday, January 11, 2012

Social welfare discrimination & poverty

Social  welfare distribution & poverty
       Current period Mongolia classifies as lower middle income country with a Gross National Income per capita of US $1,890 & ranked 110 out of 187 countries in terms of Human Development with a HDI of 0.647 in 2010. Also official source shows more than 30% of the population live on less than US $1.25 a day. It conforms via researcher’s survey in which by 40% of population or 2,754,600*0.4 = 1,101,840 people live on poverty.  The country has 130,000 poor households, which amounts 18.2% in total sum. Hence family members per capita of poor households amounts to 1,101,840:130,000=8.5 persons, which is 2.2 times more than average level over the country. Monthly average family income is amounted to 513,000 MNT or US $ 366.4 from all sources as of November, 2010 which announced by National Statistical Office. Herein monthly real income per capita of households would be computed 366.4:3.8=US $96.4 if consider every family consists from 3.8 members according to population census. If compute daily income per capita of households the given indicator amounts 96.4:30= US $3.21 in other words that only just higher than in poor African countries, namely Congo & Niger etc. Also takes place declining tendency in birth-rate, less than 2 children apply to per capita of households according to census, on which likely affect as: shortage of family income, winter’s dangerous air pollution (smokescreen), seldom maternity homes in residential districts, poor social security aimed to family having many children & continuously increased purchasing price for private apartments etc. Never seem changes in standard of living for common citizen as before although highest authorities confirm that economic growth has exceeded 20% for last year & Gross National Income per capita in next few years expects by US $ 5,000. Poverty reduction measurement still remains as declaration as before. For last decade hadn’t observed declining of poverty as 40% of the population is still remained on poverty. Here should create the identical & understandable methodologies of population’s classification with socially poverty group in accordance with their income taking into account Mongolian specific condition. For instance everybody has to have clothes suitable for passing 4 seasons as Mongolia has severe continental climate. Its territorial location is never Ecuadorian geographical longitude. Everybody even if should have warmest outer clothing & boots for spring & autumn wear. Ulaanbaatar is high coldest capital city in the world.  Indeed in Mongolia average temperature range reaches as 30 degrees below zero in winter & more than 30 degrees above zero in summer. Impossible to suffer hash winter by means of wearing Chinese rubber slipper & spending the snowy night in cardboard box at street bench, besides people must have calorie content foods to support vital activity with irreplaceable vitamins, protein, fat & dairy supplement etc.   Researcher’s review shows that more than 95 % of social welfare had accumulated in disposal of 2% of the population or 14,276 households with 55,100 family members, herein by results of census conducted at the end of 2010 total population amounted to 2,754,6 thousand which officially  announced. So scanty part of population live at fresh area & in beautiful valley of a natural protected mountain, spend summer vacation in Hawaii Island along with their family members, & educate their children at foreign renowned universities at budget expenses. In fact during past 20 years total population has separated into diametrically opposed polarization of social population groups with standard of living & means of subsistence which has been connected with unfairness distribution as of social welfare, planning of local & united budgets, competition on participation of profitable projects, incorrect privatization, giving out licenses on mineral resources, tax evasion & making good career etc. Here should recall that in socialistic regime all citizen have lived without private properties, as land, manufacturing facilities & licenses on private business etc otherwise they had the same economics conditions to start open market. All people had acquainted vouchers of small & big privatizations in equivalent numbers & nominal value. Actually has set monthly salary 325,000MNT or US $232.1 for physician or teacher who engages at state owned organizations (sub district hospital or secondary school) with work length up to 25 years. For years grows labor exploitation which became reality & affects on living standard of wage works, namely in private sector no exist external public & governmental controls & trade union that responsible for protecting  interests of workers. Here given following assumption of 50.5% of 200 accountants, who has been covered with random sample in which they demonstrated themselves opinion of tax burden affected on taxable income evasion & reasons of preparing double financial statements at entities. Let’s consider physician’s salary & any deductions & personal income tax for January, 2012.                              Payroll for January, 2012.


           Month

        Name
Nominal
salary

Social & health insurance,
10%
Personal income
tax
Advance
of salary,
approximately
50%

Salary for second
half

      10%
Reduction
   of tax

         January
        Linda
325,000
MNT
32,500
(325,000-32,500)0.1 = 29,250
22,250-7,000 =22,250
325,000:2 = 162,500
325,000-(32,500+
22,250+162,500)
= 107,750

Takes place perceptible gap between nominal salary & net salary at hand, which described below with computing of tentative current expenses.                                                   Current expenses

Real salary
Working
days
Current expenses
Net salary
Bus travelling
Fried meat pie, cap of tea
162,500+107,750
=270,250
26
400*4*26=41,600
(400*3 + 150)26 =35,100
193,550

       Hence her net salary amounts by 59.6% of nominal salary (193,550:325,000)100 = 59.6%. Actually policy of tax exemption & its reduction for taxpayers couldn’t affect on poverty reduction. High education institutions in disposal of richest persons by 20 years were exempted from all kind of tax, which receive subsidiary on current expenses applied to per capita of learners, in addition to that get scholarship of 500,000 MNT per every learner from Human Development Fund every year & plus differences in training payments between planned sum & above cited scholarship. In return even nursing baby pay value added tax (VAT) on account of that baby’s mother buy milk at price into which putted VAT of 10%. For instance, 1 liter cattle milk costs 1,100 MNT into which included 10% of VAT or 1,100:1.1-1,000=100MNT. Main component of Mongolian’s meal are meat, flour, rice, vegetable oil also a cookie fried in butter etc. But price for all kind of meats is sharply rising, especially 1 kilogram beef costs 7,000 MNT or US $4.9. Actually it is highest price for agriculture country because of that by census of livestock as of end, 2011 its number amounted to 36,005,8 thousand, hence livestock per capita of cattle-householders calculates 36,005,8:130,0 = 277. One household could be bought through allowance from Human Development Fund only 3.8*20,650:[(5,000+7,000):2]=13 kilogram meat which would be met its poor demand of supper for 26 days. Retail price of meat rose at 12% within last month, National Statistical Office conformed. Authorities of tax administration say that in country tax level is lowest over the world. But this argument doesn’t accord to continuing for long time’s measurement of poverty reduction which wasn’t achieved desirable efficiency. Nor seems declining on number of homeless & wanderer people over the country, they live in holes & tunnels of heating pipe-lines in the winter, in corridor, door-way space under stairs & overnight visitors at railway station. If refer to census country has 713,780 households, of which 8,064 dwell in non-purpose homes, otherwise 8,064*3.8= 30,643 homeless people, including 8,064*2 = 16,128 children.  Breeding livestock is main livelihood for herdsmen. Job searchers who separated from livestock due to continued natural disaster as drought, dzud-abundant snowfall which causes grassless, extending desert area, shortage of livestock pasture, cattle disease, lack of infrastructure (internet, wholesale, surfaced road, central heating system, medical diagnostic center), namely shortage of school facilities & skilled teachers. Some province parents have came to towns with main goals aimed to giving good education to their children. Review shows by 61,0 thousand job hunters are searching operator’s positions actively. Job hunters continuously move to capital city from provinces, they survive many troubles as, find shelter, registering & obtaining civil passport of capital city, purchasing countryside land to place felt ger, enrolling children in school or kindergarten, getting permission to use electricity etc. Although everybody has right to own 0.5-0.7 hectare a land free of charge according to legislation but common citizen had have to buy a land at money only. It connects with that a land distribution is authority’s disposal & competence of 6 districts of city. Meanwhile acquiring felt ger is only dream for poor job searchers owing to they haven’t got income except monthly benefit from Human Development Fund of 21,000MNT or US $14.7, but however complex ger costs 2,363,600 MNT or US $1,657.5. Continuously weakens exchange rate of NMT against US dollar & its exchange rate shows 1,426 MNT= US $1(as of 6th January, 2011), in fact it’s the same coefficient as period of great recession started since 2008-2009.  By the way Mongol bank (The State Bank) couldn’t cope with managing of rational means on bridling inflation boast & making of which understandable interpretation publicly so far, though it has professional, analytical department that responsible for steering of money policy & therefore foreign currency resources in its disposal have exceeded US $3,0 billion. Funny, the management of floating exchange rate still exists in disposal of currency black market. The State Bank couldn’t control both flows of convertible currencies properly: outflows as revenue, net income, dividend, wage & bonus transmitted from foreign investment companies, inflows as their payables & money transfers etc. Fuel price roughly grew at 260-300 MNT within first weak as of January, 2012 which compared to end of last year. Meanwhile over 90% of country’s fuel demand meets by means of supplies from neighboring Russia. Changing in fuel price from overseas suppliers sensitively reflects on price raising all of domestic productions & services as basic price. But however country has huge resources of coking coal & vast steppe-area of oil prospecting & exploitation, they export to China at extremely lowest price than world coal price. Besides incomprehensible that authorities couldn’t deal with establishment of oil-refinery properly so far, which counts one rational way to solve countries shortage in fuel & keep basic prices under state control. Transportation service price of city taxi per every kilometer rose at 30-50% or increased from 600 MNT up to 1000 MNT within 1 day. Review confirms by 1,400 women & children surfer any violence. Sampling review expresses around 30,000 children engage physical labor, who undertakes feeding & maintaining their members of households, including parents, sometimes happen some of them are drinkers. Mongolia is the biggest consumer of alcohols & cigarettes, which negatively affects on family divorces, income shortage for households & worsening of crime situations. Mongolian’s alcohol consume per capita during past decade has doubled & reached 9.2 liter in 2009. Labor children earn scanty money at food & goods bazaar as porters by leasing cart or watching after motor vehicles, loading goods, washing floor, breeding & watering livestock, also majority of them collect secondary raw materials at refuse collection points along with parents etc. Some of homeless persons by chance find operator’s position as entrance man/woman on duty, who watch after dwellers & spend night in little space under stairs with spacious by of 2.0*1.5=3.0 cubic meter without washing tap & toilet. Should take into account official minimum of labor wage, which was set at 144,400MNT or US $.101.3, but however exchange rate against foreign currencies is dropping & inflation index is rising everyday & even every hours. 107,140 capable of working people live abroad for more than one year in order to collect money for buying various types of houses & meet  consumer’s demand. Indeed it connected with labor exploitation, especially at private sector doesn’t establish trade union, which responsible to protect interests of employees. For instance some solvency entities weren’t paid social insurance applied to employee’s wage, which covered with law of tax annulment, including mining enterprises. Passed for long time when owners of private sectors press new employees to work without salary or set up for them probation wage at the minimum of labor wage. The owners became establish monthly nominal wage for employees at 15% of earned revenue per month by him/her. Some foreign investment companies don’t respect & follow labor & social laws of country. Recently has been raised quarrel between operators & headquarters of foreign investment company “South Gobi Sand”, which engages exploitation of mineral resources & had cut positions for 45 operators illegally. Has failed pledge of coalition government to construct housings devoted to100,000 households. Ulaanbaatar counted as highest pollution city in the world under review of international researching groups. Toxic substances per capita of Ulaanbaatar dwellers are 243.6 kilogram, reports Air Pollution Control Office. Researchers confirmed that dangerously were polluted air & land in area of ger district as with open hole toilet, shortage of natural grass-plot, trees, heating oven of coal burning, air dust, toxic gas (carbon dioxide) isolated from vehicular motor etc. They seriously affect on sickness of citizen & spreading of infection among them, namely dysentery, tuberculosis & hepatitis etc. If refer to barilga.mn WEB site 1 room’s & 2 room’s apartments cost US $30,000 & US $45,000 respectively. Moreover the benchmark interest rate for last year was reported at 12.25%. Recall that monthly real income per capita of households would be computed 366.4:3.8=US $96.4 if consider every family consists from 3.8 members according to population census. Obviously lower result of any measurements, including poverty reduction projects may connected with which poor organization activities, as weak project team, insufficient methodology of collecting & processing empiric data, correction of researching results in accordance with leadership’s instruction, shortage of required financial sources & duration period, poor legislation environment & bureaucracy in its improvements etc. We think of that should be conducted tender of any measurement (especially it belongs to project) faithfully & openly, team members could be possessed modern researching methods of applied mathematics, econometrics, & mathematical statistics, they must be motivated & able to themselves create, develop, distribute, export & outsource new ideas & innovations etc. Popular such troubles for project teams, first of all they search & copy any foreign economics models or computer application programs in order to put they into Mongolian conditions in despite of their specifics, collect financial instructions & than distribute standardized questionnaires among involved participants in sampling, demand final reports, researching empiric materials from functional departments & agencies, & finally summit hacked resume to the higher organs of power etc. Likely attaining through close friends right to conduct a lot of projects in parallel by one team seriously affects on quality of any projects within planned time. The term members should be preferred themselves creating feasible economics models, affordable researching questionnaires & methodologies suitable for Mongolian specific in despite of copying from abroad or from internet anything.