Central and East European Economies in Transition: The International Dimension Book

	List of Tables
	Acknowledgments
	Introduction	1
	The Legacy	2
	External Indebtedness and Economic Crisis	5
	The Impacts of Declining Soviet Power	6
	Political Change and Economic Reorientation	9
	The Five and the West	11
	Notes	14
1	Shock Therapy Versus Gradual Change: Economic Problems and Policies (1989-1991)	17
	Shock Therapy in Poland: Some Lessons and Implications	20
	Other Experiences with Shock Treatment	25
	Detour: German Reunification as Shock Therapy	27
	The Case for Gradualism	30
	Notes	34
2	Dilemmas of Privatization	37
	Arguments for Rapid Privatization: A Brief Overview and Assessment	37
	Privatization from a Broader Perspective	40
	Some Principal Difficulties of Privatization	41
	Giveaway Privatization: How and Why?	43
	Is It Really Speed That Counts?	45
	Notes	46
3	Systemic Transformation and Foreign Economic Liberalization: Trade and Investment Issues	49
	Trade Liberalization in Practice	50
	Foreign Direct Investment and Economic Transition	52
	Notes	57
4	The End of the CMEA: Implications of the Change to Dollar-Accounted Trade	59
	The End of a Trading System	62
	Changing the System or the Currency of Trade?	63
	Transition Policies, 1989-1991	65
	The Safety Net and the Problem of Transferable-Ruble Surpluses	65
	Negotiating Transition	67
	Policy Options for the Five	71
	Notes	75
5	Economic Integration and Cooperation in Postcommunist Central and Eastern Europe	79
	Economic Cooperation Versus Integration	80
	Toward a "Small" Integration?	84
	"Small" Integration from an International Perspective	90
	Notes	92
6	"Joining Europe": A Thorny Path	93
	Opening Up to the World or Joining a Regional Integration?	93
	The European Community and the Five: Some Asymmetries	94
	Association Agreements: On the Way to Joining Europe?	95
	Is There a Solution to the Dilemma?	100
	Notes	101
7	Hard-Currency Debt and Western Policy	103
	Deterioration of the Debt Situation	104
	"Marshall Aid" Versus IMF Conditionality	108
	Financial Relations and Policy Priorities	111
	The Five's Place: Inside Europe or at Arm's Length?	114
	Notes	115
8	Outlook for the Five: External Constraints and Policy Options	119
	Debt Management and Transformation in Hungary	120
	The Five and the End of the Soviet Union	124
	Systemic Transformation: Learning by Doing	127
	Notes	130
	Bibliography	133
	About the Book and Author	139
	Index	141