Reform in Eastern Europe

Olivier Blanchard, Rudiger Dornbusch, Paul Krugman, Richard Layard, Larry Summers

Economics

Written by five leading economists, this short book lays out a program for transforming the centrally planned economies of Eastern Europe into market economies. It addresses reducing unemployment during the transition, imposing market discipline on state enterprises through privatization, and replacing CMEA barter arrangements with market-based international trade. The authors weigh the pace and sequencing of stabilization and structural reform.