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The Rise and Fall of Czech Capitalism - Economic Development in the Czech Republic Since 1989 (Hardcover)
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The Rise and Fall of Czech Capitalism - Economic Development in the Czech Republic Since 1989 (Hardcover)
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This book offers a detailed, critical account of the economic
transformation of the Czech Republic since 1989. It follows the
development and implementation of a reform strategy based on
'shock' therapy and rapid privatisation, set against the background
of turbulent political change and conflict. The aim of the
government in the mid 1990s was the creation of a 'Czech'
capitalism, with Czech-owned business empires and banks. A detailed
analysis of developments in banking and industrial enterprises
shows how the chosen strategy led instead to continuing
inefficiency, flawed management decisions and uncontrolled
profiteering. These combined factors contributed to serious
economic difficulties in the latter part of the decade, with
success stories largely confined to foreign-owned firms. After
1998, a new government attempted to encourage economic revival
based upon a fresh strategy which emphasised the sale of banks and
industrial enterprises to foreign owners. Even with this new reform
strategy, the author concludes that the results were, at best,
mixed. Throughout the analysis, the author provides in-depth
commentary on a variety of topics including the sources of economic
growth, the role of the central bank, developments in banking and
industrial enterprises and the impact of inward direct investment.
It is rare to find such a comprehensive book which assesses the
economic transformations of a single country. The detailed analysis
and pertinent conclusions will be welcomed by academics and
researchers with an interest in transition economies, European
integration, international finance and political science.
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