The political economy of dual transformations

David Bartlett challenges the conventional wisdom regarding the hazards of "dual transformations": far from hindering marketization, democratization has facilitated it. Bartlett argues that the transition to democracy in East Central Europe lowered the political barriers to market reform by weakening the ability of the actors most vulnerable to marketization to stop or slow down the process. Although the analysis focuses on Hungary, whose long history of market reform makes it an ideal vehicle for assessing the impact of institutional change on reform policy, the author takes his argument further. His findings call into question the use of "shock therapy" as well as arguments, based on the experience of East Asian countries, that economic development and democratization are incompatible. This book will appeal to economists, political scientists, and others interested in transition problems in formerly communist countries, democratic transitions, and the politics of stabilization and adjustment.