Economic transition and elections in Poland 1

Poland's economic and political transition, one of the most successful, has depended very heavily on job creation in new firms to replace the jobs lost in the formerly state-owned enterprises. This paper uses survey and aggregate data from three Polish elections to suggest that these de novo firms, the individuals they employ, and the residents in the local areas where they exist become an important constituency supporting pro-reform political parties and constraining the actions of parties less sympathetic to the reforms. The creation of this political constituency helps explain how countries can successfully pursue both economic and political reforms. JEL classification: D72, P26.Peer Reviewedhttp://deepblue.lib.umich.edu/bitstream/2027.42/72227/1/1468-0351.00139.pd

Developmental perspectives on Europe

The crisis of 2008–2009 has ended, stockmarkets skyrocketed in 2012–2013, while growth of the real sector remained sluggish in Europe. This article attempts to explain the latter puzzle. Analyzing long term factors, the costs of short-termism in crisis management become obvious. The limitations of EU as a growth engine are highlighted

Globalisation and Equity Issues in Post-socialist Transition Economies

Equity issues in policymaking are difficult to resolve because they are linked not only to the economic situation but also to social constraints and political conflicts within a country. This is even more true in the case of post-socialist economies during their transition to a market system in the era of globalisation. The historical and irreversible process of liberalisation and integration of capital, goods and services, and labour markets into one world market, as well as the gradual construction of new institutions and the process of privatisation cause a significant shift in the income pattern of post-socialist emerging markets. Contrary to expectations, inequality increases affecting the standard of living and long-term growth. While globalisation contributes to the long-term acceleration of economic growth and offers a chance for many countries and regions to catch up with more advanced economies, it results in growing inequality both between the countries and within them. On average, the standard of living increases, but so does the gap between the rich and the poor. Therefore, equality issues should always be of concern to policymakers, especially in the early years of the change of regime in post-socialist transition economies