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The three archetype European historic development models and their impact in East-Central Europe

Miklos Szanyi ()
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Miklos Szanyi: Institute of World Economics, Centre for Economic and Regional Studies

No 261, IWE Working Papers from Institute for World Economics - Centre for Economic and Regional Studies

Abstract: This paper deals mainly with the historic origins of the special rent-based East-Central European development model. The Atlantic competition-based model used to serve as a benchmark for the region’s development. However, due to various reasons discussed in this paper the Atlantic institutions remained rather weak, and much of the Ottoman-Balkan model’s features also made lasting imprints. As a result, a specific hybrid socio-economic model evolved that featured the state-permeated creation of rents and their politically predetermined distribution. The rent-based economy’s stability has been supported by external political and economic assistance. The social tensions of the political and economic backlashes have been covered by politically inflated regional conflicts, mainly ethnic rivalry. The study provides evidence on the historic determination of these features of the rent-based ECE development model.

Keywords: historic development; private property regime; dependence; rent seeking; East-Central Europe (search for similar items in EconPapers)
JEL-codes: N13 N14 N43 N44 P14 P16 (search for similar items in EconPapers)
Pages: 26 pages
Date: 2020-08
New Economics Papers: this item is included in nep-his
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