Pressure to Adjust: Consequences for the OECD Countries from Reforms in Eastern Europe

Robert Holzmann, Christian Thimann and Angela Petz
Additional contact information
Angela Petz: University of Saarland, University of Munich

International Trade from University Library of Munich, Germany

Abstract: The opening of formerly planned economies to the world has not only profound consequences for these Central and Eastern European economies. There are also substantial effects on the economies of Western Europe, resulting from enhanced price competition in product markets, migration and capital flows. The macroeconomic effects and adjustment requirements in the OECD countries are fundamentally determined by the two central but not mutually exclusive growth options for the reform countries, which are analysed in the paper: The option of an import-led growth in Eastern Europe, resulting from capital transfers from the West in order to assist the modernisation and investment process in the East, and the option of an export-led growth, allowing for the unrestricted entering of Western markets and imitating the experience of Asian economies. The estimated magnitudes and likely economic effects speak in favour of the export-led growth option, but under both options the governments in the West are challenged.

JEL-codes: F1 F2 (search for similar items in EconPapers)
Pages: 62 pages
Date: 1994-03-17
Note: 62 pages, Binary Word-For-Windows file
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (5)

Downloads: (external link)
https://econwpa.ub.uni-muenchen.de/econ-wp/it/papers/9403/9403001.doc.gz (application/msword)
https://econwpa.ub.uni-muenchen.de/econ-wp/it/papers/9403/9403001.pdf (application/pdf)
https://econwpa.ub.uni-muenchen.de/econ-wp/it/papers/9403/9403001.ps.gz (application/postscript)

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:wpa:wuwpit:9403001

Access Statistics for this paper

More papers in International Trade from University Library of Munich, Germany
Bibliographic data for series maintained by EconWPA (volker.schallehn@ub.uni-muenchen.de this e-mail address is bad, please contact repec@repec.org).