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- W51295416 abstract "1. INTRODUCTION This essay is an attempt to clarify and compare several key characteristics of the revolutionary post-communist transition presently underway in Poland. It does this by asking two broad, perhaps unanswerable, questions. There is a consensus that the post-1989 governments of Poland are weak and fragile. Hence, the first question to be asked is, how risky is the continued presence of weak and fragile Polish government to the future of that nation's democratic transition(1)? The situation in 1994 will be compared to 1926 when democracy was abandoned by the coup d'etat led by Poland's national hero, Marshal Josef Pilsudski. The second question is, how important is the presence of weak and fragile government to Poland's post-1989 economic transition to private ownership and a market economy? The essay takes the position that Poland's present democratic government is not likely to revert to undemocratic practices and that the situation in 1994 is substantially different than that of 1926.(2) Concerning the second question, it is held that effective local and national governments are an advantage for the successful transition from a command to a market economy, but that the definition of effective is elusive and the government's political leadership is important, but greater saliency should be given to existing internal economic and social conditions, as well as to external factors. These external factors include the role of International Monetary Fund (IMF) and other international lending agencies; the weaknesses of the former CMEA, especially Russian, markets; and the strength of Western Europe, Japan and the United States, and the global economy generally, as potential consumers of Polish goods and foreign investors in Poland. Special note should be placed on the tariffs and quotas of the European community. A corollary observation is that commentators have paid excessive attention the unseemly corruption often associated with the early stages of capitalism. While much of what is taking place in the Polish economy may not be directly be dependent on a strong national government, local and national policies and leaders can and do play a positive role in a successful transition and economic growth by providing a positive atmosphere and a helpful infrastructure. This has been the case in Poland, beginning with the establishment of the region's first non-communist government under Prime Minister Thadeus Mazowiecki in 1989. Poland's post-communist political leadership has remained resolutely committed to the rapid establishment of a market economy and private ownership. Examples of laws reflecting this attitude would include the Privatization Law (1990), Foreign Investment Law (1991), and the Enterprise Pact of 1992. This commitment continued in December 1993 with the apparent successful receipt of bids by foreign and Polish management groups to oversee the assets of investment funds which will control 400 privatized firms. These bids were made to the Minister of Privatization, Wieslaw Kaczmarek of the socialist Democratic Left Alliance Party (SLD), the victors in the September 1993 parliamentary elections. While the present government must continue to pass and implement legal, banking, etc. reforms which will establish institutions and practices vital to the full realization of a privately owned market economy, this should not cause one to undervalue the wisdom and courage of political leaders in establishing such a positive and conducive atmosphere in the first place. Furthermore, Poland's political leaders have resisted the strong temptation to control or dominate (which is very different from only intervening) the economic transition. This is no small accomplishment given the powerful role played by the state in the interwar and post-war communist Polish economy, as well as the understandable pleas of many out-of-work Poles to their leaders to improve their plight. This essay does not take a position on the much larger question of the correctness or effectiveness of state intervention in the economic life of a nation. …" @default.
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- W51295416 date "1994-06-22" @default.
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- W51295416 title "Poland's Political and Economic Transition" @default.
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