IDEAS home Printed from https://ideas.repec.org/p/hhs/hastef/0067.html
   My bibliography  Save this paper

Romania: Transition to Underdevelopment?

Author

Listed:
  • Ronnås, Per

    (Dept. of Economics, Stockholm School of Economics)

Abstract

Six years after the Revolution and despite half a century of sacrifices for a better future Romania remains impoverished and much further behind Western Europe in terms of economic development than it was before the Second World War. Against this backdrop the study takes stock of the situation in terms of social and economic development as it stood on the eve of the revolution and assesses the developments during the first half decade since the fall of Ceausescu. The focus is on four broad aspects: (1) macroeconomic stability; (21) price liberalization and the creation of efficient markets; (3) institutional restructuring and 'depoliticization' of the economy and (4) human resources development. The study concludes that the unique momentum for economic reform created by the Revolution in December 1989 was largely lost. At the heart of the problem, is a failure to carry out an adequate institutional restructuring and to 'depoliticize' the economy. Only in the fields of human resources development have significant achievements been made. The combination of an economic structure of an industrialized country and the economic performance of a pre-industrialized one reflects extreme inefficiency in the allocation and utilization of the means of production and other scarce resources. The question is not if Romania is experiencing a transition to underdevelopment, but how to achieve a transition away from underdevelopment.

Suggested Citation

  • Ronnås, Per, 1995. "Romania: Transition to Underdevelopment?," SSE/EFI Working Paper Series in Economics and Finance 67, Stockholm School of Economics.
  • Handle: RePEc:hhs:hastef:0067
    as

    Download full text from publisher

    To our knowledge, this item is not available for download. To find whether it is available, there are three options:
    1. Check below whether another version of this item is available online.
    2. Check on the provider's web page whether it is in fact available.
    3. Perform a search for a similarly titled item that would be available.

    More about this item

    Keywords

    Economic transition; underdevelopment; Romania; privatization;

    JEL classification:

    • O11 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Macroeconomic Analyses of Economic Development
    • O17 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Formal and Informal Sectors; Shadow Economy; Institutional Arrangements

    Statistics

    Access and download statistics

    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:hhs:hastef:0067. 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: (Helena Lundin). General contact details of provider: http://edirc.repec.org/data/erhhsse.html .

    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.