Skip to main content
SpringerLink
Log in

Characteristics of the Centrally Planned Economy and Systemic Collapse

  • Chapter
Book cover Market-oriented Systemic Transformations in Eastern Europe

  • 51 Accesses

Abstract

Eastern Europe is facing a complex transformation process after the collapse of socialism in the last quarter of this century. This collapse is the result of an intellectual legacy and ideology which initially came from the West. The West, however, was prudent enough not to follow the ideas of MARX and ENGELS, but developed different answers to the obvious misery of the Industrial Revolution and the dynamics of market economies with their contradictions of fast, volatile and sometimes unstable financial markets on the one hand, and, slow factor markets and goods markets on the other hand. After a brief analysis of the crisis of socialism, we will turn in chapters B-E to theoretical and practical questions of systemic transformation.

This is a preview of subscription content, log in via an institution to check access.

Access this chapter

Log in via an institution
Chapter
USD 29.95
Price excludes VAT (USA)
  • Available as PDF
  • Read on any device
  • Instant download
  • Own it forever
eBook
USD 84.99
Price excludes VAT (USA)
  • Available as PDF
  • Read on any device
  • Instant download
  • Own it forever
Softcover Book
USD 109.99
Price excludes VAT (USA)
  • Compact, lightweight edition
  • Dispatched in 3 to 5 business days
  • Free shipping worldwide - see info
Hardcover Book
USD 109.99
Price excludes VAT (USA)
  • Durable hardcover edition
  • Dispatched in 3 to 5 business days
  • Free shipping worldwide - see info

Tax calculation will be finalised at checkout

Purchases are for personal use only

Institutional subscriptions

Preview

Unable to display preview. Download preview PDF.

Unable to display preview. Download preview PDF.

References

  • ALLESANDRINI, S. and DALLAGO, B. eds. (1987), The Unofficial Economy, Aldershot: Gower.

    Google Scholar 

  • ALTON, T.P. (1988), Comparison of Overall Economic Performance in the East European Countries, in: WEICHARDT, R., Ed., The Economics of Eastern Europe under Gorbatechev’s Influence. NATO, Colloquium, March 23-25, Brussels, 26–50.

    Google Scholar 

  • ASLUND, A. (1983), Private Enterprise in Soviet-Type Economics: A Comparison between Poland and the GDR, Osteuropa-Wirtschaft, 28 (1983), 176–193.

    Google Scholar 

  • BALCEROWICZ, L. (1988), Innovationsspezi fika, Wirtschaftssystem und Innovationsleistung von Wirtschaftssystemen, in: BALCEROWICZ, L. and WELFENS, P.J.J., eds., 28–59.

    Google Scholar 

  • BALCEROWICZ, L. and WELFENS, P.J.J., eds. (1988), Innovationsdynamik im Systemvergleich, Heidelberg: Physica.

    Google Scholar 

  • BERNSTEIN, M. (1950), Latent Inflation, IMF Staff Papers, Vol. 1, 1–16.

    Article  Google Scholar 

  • BICANIC, I. (1987), The Inequality Impact of the Unofficial Economy in Yugoslavia, in: ALESSANDRINI, S. and DALLAGO, B. eds., 323–336.

    Google Scholar 

  • BOLZ, K., ed. (1990), Die Wirtschaft der osteuropäischen Länder an der Wende zu den 90er Jahren, Hamburg: HWWA.

    Google Scholar 

  • BOTH, M. and WELFENS, P.J.J. (1989), Internationale Determinanten des Geldumlaufs, in: CASSEL, D. et al., eds., 151–168.

    Google Scholar 

  • BRADA, J. (1985), The Slowdown in Soviet and East-European Economic Growth, Osteuropa Wirtschaft, Vol. 30, 116–128.

    Google Scholar 

  • BREZINSKI, H. (1992), The Autonomous Sector in a Society of Shortage, in ADJANI, G., DALLAGO, B. GRANCELLI, B. (eds.), Self-Employment and Entrepreneurship in the Socialist Countries: Economy, Law and Society, London, Macmillan (forthcoming).

    Google Scholar 

  • BREZINSKI, H. and PETRESCU, P. (1986), The Second Economy in Romania — Dynamic Sector, Discussion Paper, FB 5, Universität Paderborn.

    Google Scholar 

  • BREZINSKI, H. and ROS, C. (1985), The Development of the Second Economy in Hungary, Korean Journal of East-West European Studies, Vol. 1, 95–127.

    Google Scholar 

  • BRUS, W. and LASKI, K. (1989), From Marx to the Market, Oxford: C1arendon Press.

    Google Scholar 

  • CANTWELL, J. (1989), Technological Innovation and Multinational Corporations, Oxford: Basil Blackwell.

    Google Scholar 

  • CASSEL, D.; et al., eds. (1989), Inflation und Schattenwirtschaft im Sozialismus, Hamburg: S+W Steuer-und Wirtschaftsverlag.

    Google Scholar 

  • CASSEL, D. (1986), Funktionen der Schattenwirtschaft im Koordinationsmechanismus von Markt-und Planwirtschaften, Ordo, Vol. 37, 73–104.

    Google Scholar 

  • CASSEL, D., ed. (1990), Wirtschaftssysteme im Umbruch, München: Vahlen.

    Google Scholar 

  • CASSEL, D. and CICHY, E.U. (1986), Explaining the Growing Shadow Economy in East and West: A Comparative Systems Approach, Comparative Economic Studies/ACES Bulletin, Vol. 28, 415–428.

    Google Scholar 

  • CHAREMZA, W. and J.E. QUANDT (1982), Models and Estimation of Disequlibrium for Centrally Planned Economics, Review of Economic Studies, Vol. 49, 109–116.

    Article  Google Scholar 

  • CHAREMZA, W.; GRONICKI, M. and QUANDT, R.E. (1988), Modelling Parallel Markets in Centrally Planned Economics: The Case of the Automobile Market in Poland, European Economic Review, Vol. 22, 861–884.

    Article  Google Scholar 

  • CHARMEZA, W. and QUANDT, R.E. (1990), Dual Housing Markets in a Centrally Planned Economy: An Empirical Analysis, Kyklos, Vol. 43, 411–436

    Article  Google Scholar 

  • CLAASSEN, E.M., ed. (1991), Exchange Rate Policies of Developing and Socialist Countries, San Francisco: ICS 1991.

    Google Scholar 

  • DALLAGO, B. (1989), The Non-Socialized Sector in Hungary: An Attempt at Estimation of its Importance, Jahrbuch der Wirschafts Osteuropas, Vol. 13, No. 2, 67–92.

    Google Scholar 

  • DEMBINSKI, P. (1991), The Logic of the Planned Economy, Oxford: C1arendon Press.

    Google Scholar 

  • FEIGE, E.L., ed. (1989), The Underground Economics, Cambridge: Cambridge University Press.

    Google Scholar 

  • FREY, B.S. and POMMEREHNE, W.W. (1983), Schattenwirtschaft und Schwarzarbeit als Folgen des Sozialstaats, in: KOSLOWSKI, P.; KREUTZER, P.; LÖW, R., eds., Chancen und Grenzen des Sozialstaats, 135–151.

    Google Scholar 

  • GÄRTNER, W. and WENIG, á., eds. (1985), The Economics of the Shadow Economy, Heidelberg: Springer.

    Book  Google Scholar 

  • GEY, P.; KOSTA, J. and QUAISSER, W., eds. (1987), Crisis and Reform in Socialist Economics, Boulder: Westview Press.

    Google Scholar 

  • GONTARSKI, Z. (1985), Bariery efektywnego zatrudnienia, Zycie Gospodarcze, 5/1985.

    Google Scholar 

  • GORSKI, Z. and KIERCZYNSKI, T. (1989), Erscheinungsformen und Messung der inoffiziellen Erwerbswirtschaft, in: Cassel, D. et al., eds., 349–374.

    Google Scholar 

  • GROSFELD, I. (1987), Modelling Planner’s Investement Behavior: Poland, 1956-81, Journal of Comparative Economics, Vol. 11, 180–191.

    Article  Google Scholar 

  • GROSSMAN, G. (1986), ed., Studies in the Second Economy of Communist Countries, Berkeley: ICS.

    Google Scholar 

  • GUTMANN, P.M. (1977), The Subterranean Economy, Financial Analysts Journal, 33/1977, 26–34.

    Google Scholar 

  • HARDT, J.P. and McMILLAN, C.H., eds. (1989), Planned Economics: Confronting the Challenges of the 1980s, Cambridge: Cambridge University Press.

    Google Scholar 

  • HARTWIG, K.H. (1987), Monetare Steuerungsprobleme in sozialistischen Planwirtschaften, Stuttgart: Fischer.

    Google Scholar 

  • HARTWIG, K.H. and THIEME, J., eds. (1992), Transformationsprozesse in sozialistischen Wirtschaftssystemen, Heidelberg: Springer.

    Google Scholar 

  • HEDTKAMP, G., ed. (1983), Beiträge zum Problem der Schattenwirtschaft, Berlin: Duncker & Humblot.

    Google Scholar 

  • HEITGER, B. (1990), Wirtschaftliches Wachstum in Ost und West im internationalen Vergleich seit 1950, Die Weltwirtschaft, 1990, Vol. 1, 173–192.

    Google Scholar 

  • HEWETT, E.A. (1988), Reforming the Soviet Economy, Washington, D.C.: Brookings.

    Google Scholar 

  • HOLZMAN, F.D. (1960), Soviet Inflationary Pressures 1928-57, Causes and Cures, Quarterly Journal of Economics, Vol. 74 (1960), 167–188.

    Article  Google Scholar 

  • IMF et al. (1991), The Economy of the USSR, Washington D.C.

    Google Scholar 

  • INOTAI, A. (1988), Competition Between the European CMEA and Rapidly Industrializing Countries on the OECD Market for Manufactured Goods, Empirica, Vol. 15, 189–204.

    Article  Google Scholar 

  • JAMANN, W. and MENKHOFF, T. (1988), Licht und Schatten — Chinas Zweite Wirtschaft, Osteuropa-Wirtschaft, Vol. 33, 16–30.

    Google Scholar 

  • KALICKI, K. (1989), Bestimmung und Messung der Geldnachfrage, in: CASSEL, D. et al., 195–212.

    Google Scholar 

  • KANTOROVICH, L.V. (1965), The Best Use of Economic Resources, Oxford: C1arendon.

    Google Scholar 

  • KEMME, D.M. (1990), Losses in Polish Industry Due to Resource Misallocation, Yearbook of East-European Economics, Vol. 14, No. 2, 129–158.

    Google Scholar 

  • KORNAI, J. (1980), Economics of Shortage, 2 Vols., Amsterdam: North-Holland.

    Google Scholar 

  • KORNAI, J. (1986), The Hungarian Reform Process, Journal of Economic Literature, Vol. 24, 1687–1737.

    Google Scholar 

  • KOSTRZEWA, W. (1988), Verpaßt Osteuropa den Anschluß auf den Weltmärkten?, Institut für Weltwirtschaft, Kieler Diskussionsbeiträge Nr. 144, Institut für Weltwirtschaft, Kiel.

    Google Scholar 

  • LANDAU, Z. (1987), Selected Problems of the Unofficial Economy in Poland, in: ALLESANDRINI, S.; DALLAGO, B. eds., The Unofficial Economy, Aldershot: Gower.

    Google Scholar 

  • LASKI, K.(1982), “Second Economy” in sozialistischen Ländern und Inflationserscheinungen, Forschungsberichte No. 83, Vienna Institute for Comparative Economic Studies, September.

    Google Scholar 

  • LEIPOLD, H. (1990), Technologische Modernisierung der UdSSR? Bedeutung der Reformpolitik für die Innovationsfähigkeit der sowjetischen Wirtschaft, in: CASSEL, D., ed., 173–195.

    Google Scholar 

  • LIPTON, D. and SACHS, D. (1990), Creating a Market Economy in Eastern Europe: The Case of Poland, Brookings Papers on Economic Activity.

    Google Scholar 

  • McKINNON, R. (1990), Financial Control During the Transition from a Centrally Planned to a Market Economy, paper presented at the AER annual meeting, Washington D.C., Dec. 28, 1990.

    Google Scholar 

  • NOVE, á. (1986), The Soviet Economic System, 3rd ed., Boston: Unwin.

    Google Scholar 

  • OFER, B. (1987), Soviet Economic Growth: 1928-1985, Journal of Economic Literature, Vol. 25, 1767–1850.

    Google Scholar 

  • PORTES, R. (1977), The Problem of Inflation: Lessons from the East European Experience, Economica, Vol. 44, 109–130.

    Article  Google Scholar 

  • POZNANSKI, K. Z. (1987), Technology, Competition & the Soviet Bloc in the World Market, Berkeley: Institute for International Studies.

    Google Scholar 

  • ROMER, P. (1983), Dynamic Competitive Equilibria, Increasing Returns and Unbounded Growth, Chicago: University of Chicago.

    Google Scholar 

  • ROMER, P. (1990), Are Nonconvexities Important for Understanding Growth?, American Economic Review, Vol. 80, P&P, 97–103.

    Google Scholar 

  • SCHÄFER, W., ed. (1984), Schattenökonomie: Theoretische Grundlagen und wirtschaftspolitische Konsequenzen, Göttingen: Vandenhoeck & Ruprecht.

    Google Scholar 

  • SERGEEW, A. (1987), Netrudovye dochody: ekonomiceskaja priroda, struktura, puti likvidacji, Voprosy Ekonomiki, 1987/6, 85–93.

    Google Scholar 

  • SALANT, D.J. (1980), Quality, Location Choice and Imperfect Competition, Doctoral Dissertation, University of Rochester.

    Google Scholar 

  • SALOP, S.C. (1979), Monopolistic Competition with Outside Goods, Bell Journal of Economics, 10: 141–156.

    Article  Google Scholar 

  • SLAMA, J. (1988), Verwendung technisch-ökonomischer Kennziffern zur Analyse des Wirtschaftswachstums und des technischen Fortschritts sozialistischer Länder, in: WELFENS, P.J.J; BALCEROWICZ, L., eds., Innovationsdynamik im Systemvergleich, Heidelberg: Physica, 300–321.

    Chapter  Google Scholar 

  • SZIRACZKI, G. (1990), Employment Policy and Labor Market in Transition: From Labour Shortage to Unemployment, Soviet Studies, Vol. 42, 701–722.

    Article  Google Scholar 

  • TANZI, V. (1980), ed., The Underground Economy in the United States and Abroad, Lexington: Heath.

    Google Scholar 

  • THIEME, HJ., ed. (1985), Geldtheorie. Entwicklung, Stand und systemvergleichende Anwendung, Baden-Baden: Nomos.

    Google Scholar 

  • UNCE (1990), Economic Reforms in the European Centrally Planned Economics, New York.

    Google Scholar 

  • WAGENER H.-J. (1990), The Market and the State under Perestroika, Kyklos, 43 (1990), 359–384.

    Article  Google Scholar 

  • WASS VON CZEGE, A. (1990), Die Ungarische Wirtschaft an der Wende zu den 90er Jahren, in: BOLZ, K., Die Wirtschaft der osteuropäischen Länder an der Wende zu den 90er Jahren, Hamburg: HWWA, 319–370

    Google Scholar 

  • WECK, H.; POMMEREHNE, W.W.; FREY, B.S. (1984), Schattenwirtschaft, München: Vahlen.

    Google Scholar 

  • WELFENS, M.J. (1988), Das Phänomen der Schattenwirtschaft im Sozialismus, Osteuropa-Wirtschaft, Vol. 33, 1–15.

    Google Scholar 

  • WELFENS, M.J. (1989), Bedingungen der Entstehung und Entwicklung der inoffiziellen Erwerbswirtschaft, in: CASSEL, D.; ET AL., Eds., Inflation und Schattenwirtschaft im Sozialismus, Hamburg: S+W Steuer-und Wirtschaftsverlag, 375–404.

    Google Scholar 

  • WELFENS, M J. (1990), Internationalisierung der UdSSR? Bedeutung der sowjetischen Reformpolitik für die Stellung der UdSSR im RGW und im Ost-West-Handel, in: CASSEL, D., ed., Wirtschaftssysteme im Umbruch, München: Vahlen, 196–221.

    Google Scholar 

  • WELFENS, M.J. (1992a), Systemtransformation und die Umweltpolitik in Ost-und Mitteleuropa, Osteuropa Wirtschaft, 1992/2, 1–26.

    Google Scholar 

  • WELFENS, M J. (1992b), Systemic Transformation and Waste Management in Poland, Berlin (Tempus Project, FU Berlin), mimeo.

    Google Scholar 

  • WELFENS, P.J.J. (1987), Growth, Innovation and International Competitiveness, Intereconomics, 22 (1987), 168–174.

    Article  Google Scholar 

  • WELFENS, P.J.J. (1988), Innovationstheorie,-politik und-dynamik im Systemvergleich, in: Welfens, P.J.J.; Balcerowicz, L., eds., Innovationsdynamik im Systemvergleich, Heidelberg: Physica, 1–24.

    Chapter  Google Scholar 

  • WELFENS, P.J.J. (1989), Allocation, Pricing and the Socialist Equilibrium Shadow Economy, paper presented at the 5th annual meeting of the Associazione Italiana per lo Studio dei Sistemi Economic Comparati, Pavia, September 1988.

    Google Scholar 

  • WELFENS, P.J.J. (1990a), Economic Reforms in Eastern Europe: Problems, Options and Opportunities, testimony before the U.S. Senate, March 23.

    Google Scholar 

  • WELFENS, P.J.J. (1991b), The Economic Challenges of Privatization and Foreign Investment in Eastern Europe, paper presented at the Society of Government Economist Annual Meeting, Washington D.C., May 23.

    Google Scholar 

  • WELFENS, P.J.J, ed. (1992a), Economic Aspects of German Unification. National and International Perspectives, New York: Springer.

    Google Scholar 

  • WINIECKI, J. (1988), The Distorted Type of Soviet-Type Economics: London: Macmillan.

    Google Scholar 

  • WISNIEWSKI, M. (1985), Zrodla i rozmiary drugiego obiegu gospodarczego w Polsce, Ekonomista, 1985, No. 6, 913–936.

    Google Scholar 

  • WORLD BANK (1990), Poland. Economic Management in a New Era, Washington D.C.

    Google Scholar 

Download references

Author information

Authors and Affiliations

  1. Department of Economics, University of Münster, Universitätsstr. 14-16, W-4400, Münster, Germany

    PD Dr. Paul J. J. Welfens

Authors
  1. PD Dr. Paul J. J. Welfens
    View author publications

    You can also search for this author in PubMed Google Scholar

Rights and permissions

Reprints and permissions

Copyright information

© 1992 Springer-Verlag Berlin Heidelberg

About this chapter

Cite this chapter

Welfens, P.J.J. (1992). Characteristics of the Centrally Planned Economy and Systemic Collapse. In: Market-oriented Systemic Transformations in Eastern Europe. Springer, Berlin, Heidelberg. https://doi.org/10.1007/978-3-642-58140-3_1

Download citation

  • DOI: https://doi.org/10.1007/978-3-642-58140-3_1

  • Publisher Name: Springer, Berlin, Heidelberg

  • Print ISBN: 978-3-642-63482-6

  • Online ISBN: 978-3-642-58140-3

  • eBook Packages: Springer Book Archive

Publish with us

Policies and ethics

Search

Navigation