This paper examines alternative approaches to building sound financial structures in emerging market economies. The foremost task is to resolve the bad loan problem and to recapitalize insolvent state banks. By restoring an incentive for banks to price accurately the risks of new lending, this...

This paper examines the coexistence of free prices and shortages for a range of consumer goods in Ukraine during 1992, Enterprises making consumer goods were substantially free to set market-clearing prices. Yet, Ukraine`s official consumer market experienced continued shortages, while the same...