Political economy and the transition from planned to market economies

Abstract

The revolution in the world economy, especially in the countries of Eastern Europe and the former Soviet Union, has accelerated academic and practitioner interest in the process of global change. Of special relevance to the topic are the disciplines of strategic management, human resource management, and public policy. Specifically, global changes force a rethinking of existing managerial and governmental practices with respect to economic growth and development. This rethinking is critical to the successful transformation from planned to market economies and to assist in this large systems change the West has offered a myriad suggestions in all areas of management and public policy. The paper first explains the basic tenets of institutional economics and convergence theory, second, it presents the new rights by contrasting them with past practices in former Communist countries, and it concludes with a discussion of their implications for policy makers.

Citation

Smith, C.G., Hills, S.M. and Arch, G. (2003), "Political economy and the transition from planned to market economies", European Business Review, Vol. 15 No. 2, pp. 116-122. https://doi.org/10.1108/09555340310464740