Agricultural reform in developing countries : reflections for Eastern Europe

Abstract

The reform of formerly centrally planned economies involves freeing the price system, developing a competitive environment, and privatizing many of the state-owned or controlled assets and services, while simultaneously generating the social, economic and legal infrastructure that undergrids a market economy. This paper takes an important look at what the reforming countries of Eastern Europe can and cannot learn from the developing countries, including discussions on: (a) reforming prices; (b) credit, financial institutions and marketing boards; (c) property rights, land tenure and privatization; (d) research, extension and technology; and (e) efforts to remediate environmental degradation. A central dilemma in the reform of the Eastern European economies is the tension between commitment and flexibility. Western technical assistance and international financial help can be effective only if professionals of the East and West work together, as this is a process of joint learning, not a pure transfer of knowledge.Environmental Economics&Policies,Economic Theory&Research,Banks&Banking Reform,Markets and Market Access,Access to Markets