IDEAS home Printed from https://ideas.repec.org/p/cpr/ceprdp/544.html
   My bibliography  Save this paper

Privatization in Hungary, Poland and Czechoslovakia

Author

Listed:
  • Grosfeld, Irena
  • Hare, Paul G

Abstract

Several East European countries are embarking on major programmes both to expand their private sectors by encouraging new firm formation, and to transfer much of the existing state sector into private ownership. This paper studies the early experience of Hungary, Poland and Czechoslovakia in these areas, and reviews in detail their privatization plans for the three years 1991-3. All three countries envisage that about half the existing state sector will be in private hands by 1994 an extremely rapid rate of ownership change. While all countries will use a mixture of privatization methods, Hungary intends to sell its state firms, while the other two countries will also give away to the population a substantial fraction of the shares in the largest firms. Both approaches involve some very difficult problems. In the case of sales, it is uncertain how rapidly these can take place if a `reasonable' share price is to be maintained. In the case of giving away shares, which in practice requires some important institutional developments such as the creation of Privatization Funds (as suggested in Poland), the main difficulty is likely to be associated with the sheer administrative complexity of the privatization process.

Suggested Citation

  • Grosfeld, Irena & Hare, Paul G, 1991. "Privatization in Hungary, Poland and Czechoslovakia," CEPR Discussion Papers 544, C.E.P.R. Discussion Papers.
  • Handle: RePEc:cpr:ceprdp:544
    as

    Download full text from publisher

    File URL: http://www.cepr.org/active/publications/discussion_papers/dp.php?dpno=544
    Download Restriction: CEPR Discussion Papers are free to download for our researchers, subscribers and members. If you fall into one of these categories but have trouble downloading our papers, please contact us at subscribers@cepr.org

    As the access to this document is restricted, you may want to look for a different version below or search for a different version of it.

    Other versions of this item:

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. MARINI, Marco, 1996. "Property Rights and Market : Employee Privatization as a Cooperative Bargaining Process," CORE Discussion Papers 1996023, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE).
    2. Karp, Larry & STEFANOU, SPIRO, 1991. "Polish Agriculture in Transition: Does it Hurt to be Slapped by an Invisible Hand?," Department of Agricultural & Resource Economics, UC Berkeley, Working Paper Series qt1vt3c57h, Department of Agricultural & Resource Economics, UC Berkeley.
    3. Mike Wright & Judit Karsai & Zbigniew Dudzinski & Jan Morovic, 1999. "Transition and Active Investors: Venture Capital in Hungary, Poland and Slovakia," Post-Communist Economies, Taylor & Francis Journals, vol. 11(1), pages 27-46.
    4. Olivier LECLERCQ, 1996. "Les Entreprises Publiques Dans Le Processus De Transition En Europe Del' Est," Annals of Public and Cooperative Economics, Wiley Blackwell, vol. 67(2), pages 235-266, June.
    5. Simon Johnson, 1994. "Private Business in Eastern Europe," NBER Chapters,in: The Transition in Eastern Europe, Volume 2: Restructuring, pages 245-292 National Bureau of Economic Research, Inc.
    6. Paul G. Hare, 1991. "Hungary: In Transition to a Market Economy," Journal of Economic Perspectives, American Economic Association, vol. 5(4), pages 195-201, Fall.
    7. R. Daviddi, 1994. "Privatisation in the transition to a market economy," BNL Quarterly Review, Banca Nazionale del Lavoro, vol. 47(191), pages 399-429.
    8. Tardos, Márton, 1998. "Sikeres-e a privatizáció?. Magyarországi tapasztalatok (1990-1997)
      [Has privatization been successful?. Hungarian experiences 1990-1997]
      ," Közgazdasági Szemle (Economic Review - monthly of the Hungarian Academy of Sciences), Közgazdasági Szemle Alapítvány (Economic Review Foundation), vol. 0(4), pages 317-332.
    9. R. Daviddi, 1994. "Privatisation in the transition to a market economy," Banca Nazionale del Lavoro Quarterly Review, Banca Nazionale del Lavoro, vol. 47(191), pages 399-429.
    10. repec:ilo:ilowps:322116 is not listed on IDEAS
    11. Gács, János & Karimov, Il'dar & Schneider, Christoph, 1992. "Small Scale Privatization in Eastern Europe and Russia from a Historical and Comparative Perspective," MPRA Paper 60799, University Library of Munich, Germany.
    12. Karp, Larry & Stefanou, Spiro, 1991. "Polish Agriculture in Transition: Does it Hurt to be Slapped by an Invisible Hand?," CUDARE Working Papers 198594, University of California, Berkeley, Department of Agricultural and Resource Economics.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:cpr:ceprdp:544. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (). General contact details of provider: .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.