The implementation of a democratic order embedded in a market
economy environment has proved immensely difficult. Furthermore,
this process is subject to tremendous variety within Central and
Eastern Europe. Ten years after the collapse of communism it was
apparent that only Poland and Slovenia surpassed their 1989 levels
of GDP. This book scrutinises the arrangements to enforce good
governance in this area both by means of external help and domestic
political leadership. From the popular assumption that
transformation is a collective good, it follows that the problem of
free-riding has to be faced. Consequently there is a danger that
transformation may never be completed. This book empirically tests
the relationship between economic performance and good governance
focusing upon voluntary coercion as a means to prevent free-riding
behaviour. The author examines the role of international
organisations and discusses elite formation as an important element
of good governance - something often ignored in the economic
analysis of economic performance. Scholars and researchers of
political and economic transformation in Central and Eastern Europe
as well as those from the fields of political economy,
international relations and political science will find this book
enlightening.
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