The Relationship between Economic Growth and the Speed of
Liberalization During Transition
Berta Heybey
Government of the United States of America - Overseas Private Investment Corporation (OPIC)
Peter Murrell
University of Maryland - Department of Economics
Journal of Policy Reform, Vol. 3, Issue 2, 1999
Abstract:
The paper examines existing results on the relationship between growth performance and speed of liberalization during transition. Several influential studies contain methodological problems that preclude interpretation of their results as bearing on the effects of speed of reform and that suggest their results might be subject to endogeneity bias. We address these problems in a simultaneous equations framework. We find that policy change is less important than initial conditions during the first four years of transition. However, growth performance has a strong effect on the speed of liberalization
Note: This is a description of the paper and is not the actual abstract.
JEL Classification: O11, P21
Accepted Paper Series
Suggested Citation
Heybey, Berta and Murrell, Peter, The Relationship between Economic Growth and the Speed of
Liberalization During Transition. Journal of Policy Reform, Vol. 3, Issue 2, 1999. Available at SSRN: http://ssrn.com/abstract=161516
