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Beyond Varieties of CapitalismConflict, Contradictions, and Complementarities in the European Economy$
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Bob Hancké, Martin Rhodes, and Mark Thatcher

Print publication date: 2007

Print ISBN-13: 9780199206483

Published to Oxford Scholarship Online: September 2008

DOI: 10.1093/acprof:oso/9780199206483.001.0001

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Central European Capitalism in Comparative Perspective

Central European Capitalism in Comparative Perspective

Chapter:
(p.307) 11 Central European Capitalism in Comparative Perspective
Source:
Beyond Varieties of Capitalism
Author(s):

Lawrence P. King

Publisher:
Oxford University Press
DOI:10.1093/acprof:oso/9780199206483.003.0011

This chapter argues that any incorporation of the CEE economies into the VoC framework must take into account two fundamental features of these economic systems: an almost complete lack of working-class political mobilization and a completely outdated technological structure. As a result, there is great reliance on foreign investors and foreign purchasers for providing technology transfer and the training of manpower. The chapter conceptualizes this VoC as ‘liberal dependent post-communist capitalism’ to highlight the liberal nature of the state and the dependent nature of the economy. In most the rest of the post-communist world, foreign direct investment, or FDI, and foreign manufacturers play a much smaller role. Instead, patron-client relationships ensnare major enterprises, leading to a decomposition of the bureaucratic (in the Weberian sense of the term) nature of the state. This produces a different variety of post-communist capitalism.

Keywords:   post-Communist, labour, FDI, state capacity, patron-client relationships

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