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Policy Interdependence during Economic Transition: The Case of Slovakia 1999-2000

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  • Joaquim Oliveira Martins
  • Tristan Price

Abstract

This paper sets out a framework to analyse the interdependence of reforms in different policy areas during the transition process. It identifies four broad policy blocks related to liberalisation, stabilisation, exit and entry. The transition process in Slovakia is a case study of the striking interdependence between these different policies. Along these lines, the paper analyses the reform programme that was implemented in the Slovak Republic during 1999-2000, focusing on macroeconomic stabilisation and structural reforms in the banking and enterprise sectors. It appears that success in making up for a period where economic reform had stagnated and even been reversed depends on being able to reform on a broad front. In particular, this means addressing the difficult situation of financial deadlock between all major players in the economy and the large costs associated with restructuring. Fostering deep restructuring in the large enterprise sector is the main structural challenge ... Cet article propose un cadre d’analyse sur l’interdépendance des réformes économiques au cours du processus de transition. Quatre grands blocs de politiques sont identifiés : libéralisation des prix, stabilisation de l'économie, cadre économique pour la sortie et l’entrée de firmes. Le processus de transition en Slovaquie est un cas d’étude intéressant de cette interdépendance des politiques économiques. L’étude analyse le programme de stabilisation macroéconomique et les réformes structurelles dans les secteurs bancaire et des entreprises, mis en œuvre en République Slovaque pendant la période 1999-2000. Pour rattraper avec succès le retard accumulé dans le passé, il serait nécessaire que ces réformes soient effectuées sur un front assez large. Il est notamment indispensable de surmonter les blocages financiers entre les principaux agents de l’économie et d'assumer les coûts liés à la restructuration. Le défi majeur est l’accélération de la restructuration en profondeur du secteur ...

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File URL: http://dx.doi.org/10.1787/668888088480
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Bibliographic Info

Paper provided by OECD Publishing in its series OECD Economics Department Working Papers with number 253.

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Date of creation: 29 Jun 2000
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Handle: RePEc:oec:ecoaaa:253-en

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Keywords: structural reforms; policy interdependence; Slovak Republic; transition; réforme structurelle; République slovaque; interdépendance des politiques économiques; transition;

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