Abstract
This article was written before the impact of recent political and economic changes was fully realised, however, it highlights problems that were simmering before the changes and which must now be tackled head-on. Many years of under-investment and central planning have left inherent problems for many economies. In addition, many of the newly liberated countries have vast external debts which now have to be serviced. The article examines many of these problems in detail and suggests policies that could be adopted. JEL Codes: P11 Keywords: East European economies, Central planning
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