Market-oriented Systemic Transformations in Eastern Europe

Socialist economies in Eastern Europe have collapsed and em-
barked upon      market-oriented reforms. The causes of the
demise of centrally planned         economies are analyzed and the
basic challenges of systemic tranformation   discussed.
Negative income and wealth effects as well as                              distribution
issues make adjustment extremely difficult. The                        fundamental
roles of privatization and foreign investment are                     adressed.
Foreign economic liberalization is considered to be of
centralimportance for a growth-oriented adjustment path in
a stage of                     conflict-prone policy and options.
Politico-economic aspects of the new      European developments
in addition to North-South issues are analyzed.         Difficult
choices await decison-makers in economic policy and                     the
business community in Eastern Europe and in leading                              market
economies.