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Trade liberalization and political support in transition economies

By Norbert Wunner

Abstract

Most transition economies in Central and Eastern Europe have rather surprisingly resisted protectionist pressures-at least during early stages of reform-and pursued fairly liberal trade policies. In this paper, trade policy during transition is explained from a political economy perspective. It is shown that pursuing liberal trade policies can be a rational strategy of reform politicians, maximizing the probability of electoral success. Copyright The European Bank for Reconstruction and Development, 1998.

DOI identifier: 10.1111/j.1468-0351.1998.tb00057.x
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