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Benchmarking Structural Change in Transition

  • Martin Raiser
  • Mark Schaffer
  • Johannes Schuchhardt

The transition to market-based economic systems in the countries of Central and Eastern Europe and the former Soviet Union involves fundamental shifts in the allocation of resources and deep changes in the structure of production and employment. This paper uses a simple model of economic development and structural change with technology spillovers to benchmark structural change in the transition economies and simulate the path of adjustment from central planning. We then analyse data from 10 accession candidates and 12 CIS countries to measure the progress in structural change that has taken place thus far and to assess the further structural changes that should be expected, with particular attention to the implications for accession.

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Paper provided by Centre for Economic Reform and Transformation, Heriot Watt University in its series CERT Discussion Papers with number 0301.

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Date of creation: 2003
Date of revision:
Handle: RePEc:hwe:certdp:0301
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  1. Kongsamut, Piyabha & Rebelo, Sergio & Xie, Danyang, 2001. "Beyond Balanced Growth," Review of Economic Studies, Wiley Blackwell, vol. 68(4), pages 869-82, October.
  2. Easterly, William & Fischer, Stanley & DEC, 1994. "The Soviet economic decline : historical and republican data," Policy Research Working Paper Series 1284, The World Bank.
  3. Gomulka, Stanislaw, 1986. "Soviet Growth Slowdown: Duality, Maturity, and Innovation," American Economic Review, American Economic Association, vol. 76(2), pages 170-74, May.
  4. Bryan W. Roberts, 1997. "Welfare change and the elimination of the shortage economy in Russia: some representative-household results," The Economics of Transition, The European Bank for Reconstruction and Development, vol. 5(2), pages 427-451, November.
  5. Roland Dohrn & Ullrich Heilemann, 1996. "The Chenery hypothesis and structural change in Eastern Europe," The Economics of Transition, The European Bank for Reconstruction and Development, vol. 4(2), pages 411-425, October.
  6. Spilimbergo, Antonio, 1998. "Deindustrialization and Trade," Review of International Economics, Wiley Blackwell, vol. 6(3), pages 450-60, August.
  7. Hélène Poirson, 2000. "Factor Reallocation and Growth in Developing Countries," IMF Working Papers 00/94, International Monetary Fund.
  8. Baumol, William J, 1972. "Macroeconomics of Unbalanced Growth: Reply," American Economic Review, American Economic Association, vol. 62(1), pages 150, March.
  9. Richard Jackman & C Pauna, 1997. "Labour market policy and the reallocation of labour across sectors," LSE Research Online Documents on Economics 2047, London School of Economics and Political Science, LSE Library.
  10. Richard Jackman & C Pauna, 1997. "Labour Market Policy and the Reallocation of Labour Across Sectors," CEP Discussion Papers dp0338, Centre for Economic Performance, LSE.
  11. International Monetary Fund, 2000. "The Great Contractions in Russia, the Baltics and the Other Countries of the Former Soviet Union: A View From the Supply Side," IMF Working Papers 00/32, International Monetary Fund.
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