Economic Transformation in Slovenia: From a Model Example to the Default

ŽÍDEK, Libor. Economic Transformation in Slovenia: From a Model Example to the Default. Národohospodářský obzor. Masarykova univerzita, 2016, vol. 16, No 3, p. 159-186. ISSN 1213-2446. Available from: https://dx.doi.org/10.1515/revecp-2016-0011.

Basic information

• Original name: Economic Transformation in Slovenia: From a Model Example to the Default
• Authors: ŽÍDEK, Libor (203 Czech Republic, guarantor, belonging to the institution).
• Edition: Národohospodářský obzor, Masarykova univerzita, 2016, 1213-2446.

Other information

• Original language: English
• Type of outcome: Article in a journal
• Field of Study: 50200 5.2 Economics and Business
• Country of publisher: Czech Republic
• Confidentiality degree: is not subject to a state or trade secret
• WWW: URL
• RIV identification code: RIV/00216224:14560/16:00091208
• Organization unit: Faculty of Economics and Administration
• Doi: http://dx.doi.org/10.1515/revecp-2016-0011
• UT WoS: 000406945000001
• Keywords in English: Slovenia; gradualism; economic transformation; banking system
• Tags: International impact, Reviewed

Abstract

The Slovenian economy appeared on the brink of bankruptcy at the end of 2013. The situation was caused by high level of classified debts in state-owned banks. This can be seen as surprising because Slovenia used to be (for a long time) considered as a (textbook) example of the gradualist transformation approach. The goal of this article is first to describe the transformation process in the country and consequently to determine causes of the economic problems that resulted in the 2013 crisis. The article concludes that the economic problems were rooted already in the specific functioning of the centrally planned system in Yugoslavia. These specifics had a direct influence on the transformation process in the country and stood behind the application of gradualism. Among the most telling features of gradualism were slow privatization, cold attitude towards foreign investment and the foremost lasting casual economic environment caused by behaviour of the state-owned banks. My conclusion is that the country’s economic problems can be ascribed to gradualism and that they are a clear example of the path dependence development

Links

• MUNI/A/0915/2015, interní kód MU: Name: Hospodářská politika v EU a ČR III

Investor: Masaryk University, Category A