We present a model to explain why in the transition economies of Central and Eastern Europe an important output fall has been associated with price liberalization. Its key ingredients are search frictions and Williamsonian relation-specific investment, implying that new investments are made only...

This book analyses the role of deregulation, competition and modernization in telecommunications and energy in Europe, particularly in Eastern Europe. It features a comprehensive analysis of telecommunications policy and industry developments in the EU and selected postsocialist countries; the...

The IMF Working Papers series is designed to make IMF staff research available to a wide audience. Almost 300 Working Papers are released each year, covering a wide range of theoretical and analytical topics, including balance of payments, monetary and fiscal issues, global liquidity, and...