The Transformation to the Market: At High Cost, Often with Long Lags, and Not Without Question Marks

Jan Winiecki

Journal of Public Policy, 1997, vol. 17, issue 3, 251-268

Abstract: The shift from a command economy to a market economy is not only a question of following appropriate macro-economic policies but also a matter of instilling a market ethic in the minds of people who had been socialized and rewarded in a non-market command economy. In that system, many concentrated on technical rules of survival. The lumpenproletariat in favoured industries were rewarded even when they shirked or pilfered from state enterprises. The ethics of the lumpenintelligentsia reflected Communist party values, as professional. associations were under party control. The maintenance of such attitudes creates substantial resistance to the transformation of the economy, because a Weberian protestant ethic is lacking. Transition does occur, but the legacy of the old ethic imposes high transaction costs, inefficiencies and inhibits forward direct investment.

Date: 1997
References: Add references at CitEc
Citations:

Downloads: (external link)
https://www.cambridge.org/core/product/identifier/ ... type/journal_article link to article abstract page (text/html)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:cup:jnlpup:v:17:y:1997:i:03:p:251-268_00

Access Statistics for this article

More articles in Journal of Public Policy from Cambridge University Press Cambridge University Press, UPH, Shaftesbury Road, Cambridge CB2 8BS UK.
Bibliographic data for series maintained by Kirk Stebbing ().