Evaluation of Economic Transformation in Hungary

Abstract

The paper analyses transformation process in Hungary between 1989 and 2004. The goal of this paper is to analyze and evaluate the transformation process in Hungary. The structure of the paper follows this general goal. First of all, an analysis of economic development of the country before the fall of the communist regime is carried out because this determined the whole process which followed. Then we shortly mention political development that had a significant impact on the transformation process and its results. In the next part we concentrate on the main steps in the economic transformation, and consequently we devote space to specific aspects - privatization, for example. The main economic indicators of this period are analyzed in the final part. We conclude that the transformation process achieved its main economic goal and the economy’s ability to grow increased. At the same time, however, the transformation process created environment for the subsequent economic problems.

Influencing factors of digital transformation: management or IT is the driving force?

“…Hungary is among the countries considered to have transitional economies. Hungary, as one of the post socialist countries has successful creating a market-based economy and conditions for economic growth exist, the country is an integrated part of the world economy (Zidek, 2014). Many international companies transferred their practice and IT solutions to Hungary.…”

Regulatory and Legal Support for the Adaptation of the Trade Policy of Central and Eastern European Countries to the Common Trade Policy of the Eu

“…A few years ago, it seemed that the differences between Slovakia and the Czech Republic, which for a long time had much better economic indicators, gradually disappeared, but recently it has been noted that the period of coordination of the goals of the market and socially oriented economy (2006-2015 y.) was replaced by a period of corruption and clientelism 41 . This reduces trust in Slovak institutions and democratic procedures.…”

“…A significant part of the enterprises was privatized with the help of bank loans, which led to the deterioration of the financial condition of such enterprises. 41 Malova D. Transformation Experiences in Slovakia: Governing Uncertainty. 42 Weiner E. Market Dreams: Gender, Class, & Capitalism in the Czech Republic.…”

Activation and new governance of labor market policies in Central and Eastern European Countries

“…Hungary was a unique country in the region, as the communist party had started economic reforms before the socialist system collapsed (Zídek, 2014). After the parliamentary elections in spring 1990, the first government not dominated by Communists continued gradual reforms.…”