Abstract
This paper compares two peculiar country cases within the former European socialist bloc: Albania and the Socialist Federal Republic of Yugoslavia. Based on János Kornai's ‘main line of causality', we compare the two countries' main char-acteristics from the end of the Second World War until the fall of their socialist re-gimes. The goal of the paper is to demonstrate that the two neighbouring countries had similar political and economic intentions following the Second World War; yet despite this fact the analysed countries' development paths gradually diverged. As a result, the two systems differed fundamentally by the 1970s. Analysing the time-period in question is crucial to understand Albania's and the successor Yugoslav states' subsequent economic development.
Subject
Public Administration,Economics and Econometrics,History
Reference39 articles.
1. Anderson G.M. and Boettke P.J. (1997). Soviet venality: A rent-seeking model of the communist state, Public Choice, 93: 37-53.
2. Some causes of the growth of the Yugoslav external debt
3. Bartlett W. (1997). The transformation and demise of self-managed firms in Croatia, Macedonia FRY and Slovenia. In Sharma S. (ed.) (1997). Restructuring Eastern Europe. The microeconomics of the transition process, Cheltenham, Edward Elgar.
4. When Order Affects Performance: Culture, Behavioral Spillovers, and Institutional Path Dependence
5. EBRD. (1996). Transition report 1996. Infrastructure and savings, London, European Bank for Reconstruction and Development.