caa a22 4500 397559046 CHVBK 20180308164811.0 cr unu---uuuuu 161202e199609 xx s 000 0 eng 10.1093/wber/10.3.397 doi (NATIONALLICENCE)oxford-10.1093/wber/10.3.397 Patterns of Transition from Plan to Market [Elektronische Daten] [Martha de Melo, Cevdet Denizer, Alan Gelb] The transition from a planned economy to a market economy involves a complex process of institutional, structural, and behavioral change. This article develops an index of economic liberalization and analyzes its interaction with growth and inflation, using data from twenty-six transition countries for 1989-94. The article reveals two paradoxes of transition. First, the attempt to maintain output by subsidizing enterprises results in larger declines in output than occur under a policy of reducing subsidies. Second, price liberalization results in lower inflation than occurs under a policy of continued price controls. Strong common patterns exist among countries at similar stages of reform. The common legacy and the associated changes that result from initial disruptions in the socialist economic coordinating mechanisms and subsequent liberalization measures go a long way toward explaining the transition experience. Because strong interactions between liberalization and stabilization are likely, stabilization becomes a priority for the resumption of growth. © 1996 The International Bank for Reconstruction and Development / THE WORLD BANK Articles nationallicence Melo Martha de aut Denizer Cevdet aut Gelb Alan aut The World Bank Economic Review Oxford University Press 10/3(1996-09), 397-424 0258-6770 10:3<397 1996 10 wber https://doi.org/10.1093/wber/10.3.397 text/html Onlinezugriff via DOI 1 research-article jats NATIONALLICENCE 856 40 https://doi.org/10.1093/wber/10.3.397 text/html Onlinezugriff via DOI NATIONALLICENCE 700 1- Melo Martha de aut NATIONALLICENCE 700 1- Denizer Cevdet aut NATIONALLICENCE 700 1- Gelb Alan aut NATIONALLICENCE 773 0- The World Bank Economic Review Oxford University Press 10/3(1996-09), 397-424 0258-6770 10:3<397 1996 10 wber Metadata rights reserved CC BY-NC-4.0 http://creativecommons.org/licenses/by-nc/4.0 nationallicence BK010053 XK010053 XK010000 NATIONALLICENCE NATIONALLICENCE NL-oxford