The Challenge of Simultaneous Economic Relations with East by Michael Marrese, Sandor Richter

By Michael Marrese, Sandor Richter

This paintings includes papers awarded at a convention held in March 1988. It chronicles the efforts of 4 nations - Austria, Finland, Hungary and Yugoslavia - to strengthen monetary ties with either the East and the West. themes lined comprise the evolution of twin financial ties.

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It turned out, however, that up to the present time, it has been just the non-state sectors that have brought the most tangible changes into the life of the economy. 2 Conflicts stemming from divergent interests are key to the understanding of Kornai's explanation of the discord between plan and market. These conflicts can be viewed as occurring among members of four hierarchic levels of the economy: (i) members of the Central Committee and the Council of Ministers; (ii) leading members of branch and functional ministries, banks, and economy-wide agencies and committees; (iii) managers of enterprises, state farms, and cooperatives along with the trade union leaders and members of local councils (organs of local government); and (iv) individual workers and consumers.

RICHTER, 'The Development of Hungarian-Soviet Economic Relations', Acta Oeconomica, 38, No. 3-4 (1987) 303-322. S. RICHTER, 'Hungary's Foreign Trade with CMEA Partners in Convertible Currency', Acta Oeconomica, 25, No. 3-4 (1980) 323-336. S. RICHTER, 'Some Aspects of Economic Relations Between Austria and the Soviet Union', wnw Forschungsberichte Nr 101, Vienna (November 1984) 111. 3 Hungarian Foreign Trade: Failure to Reform Michael Marrese INTRODUCTION In Hungary, the first steps toward decentralisation occurred in agriculture in 1965.

The main question here will again be the same, namely, is it profitable to produce and export manufactured products in the East European countries at that price? On the one hand, a deficit would arise after the abolition of clearing in the trade of East European countries with the Soviet Union. On the other hand, commodities that have been regarded as soft in the traditional CMEA system of trade could maintain their market shares only at prices that reflect the difference in quality compared to competing imports.

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