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Creating Capitalism
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Using history, growth theory and a political economy approach, the authors of this title explain Soviet disintegration and analyse efforts to create capitalism in newly independent European states. Despite the evident social value of capitalism, they show that natural political resistance must be overcome before economic reforms can generate growth. They show how five neccessary reforms work in the context of a growth model to improve social welfare by promoting growth. They analyse the progress of six country's - Bulgaria, the Czech Republic, Estonia, Hungary, Russia and Slovakia - in terms of each country's history and its successful application of the five reforms. A model tests the connections between reforms, elections and economic performance.
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