STRAIN AND STAGES OF CENTRAL AND EAST-EUROPEAN TRANSITION

An important goal of the study is to demonstrate that the actual transition in the East European economies is going to be integrated into a more general process of a long-run transition, which also includes the Western economies. The author designed two models for capturing stagflation and for demonstrating some possible ways of transition from the actual situation of the East European economies to the one minimal requested for the acceptance within the European Union.