How capitalism was built: the transformation of Central and Eastern Europe, Russia, and Central Asia

Communism and its demise. Real socialism. Decline and fall of socialism. The demise of communism in Central Europe. The collapse of the Soviet Union

Shock therapy vs. gradualism. The radical reform program : a big bang. Gradual reform programs. Rent seeking : the scourge of transition. Criticism of radical reform after the Russian financial crash

Output : slump and recovery. Sharp decline in recorded output and varied recovery. Exaggeration of the slump. Radical reform : least decline and early recovery. Late reformers : surged after 1998

Liberalization : the creation of a market economy. Different strategies of deregulation. Liberalization of foreign trade. Labor market policy. Combat of monopoly : gas and coal. A big bang : vital in deregulation

From hyperinflation to financial stability. Establishing national currencies. Radical fiscal adjustment was key. Tax policy : from social democratic to liberal. Monetary policy : from loose to strict. Exchange rates : currency board or free float. Dramas of financial stabilization

Privatization : the establishment of private property rights. Differing aims of privatization. Small-scale privatization : if started, swiftly done. Large-scale privatization : the biggest headache. Privatization of land, real estate, and housing. New enterprise development : the ultimate success. Great achievements of privatization. Vital : speed and legitimacy of property rights

An inefficient social system. Incomes : differentiation and poverty. Life and health. Education adjusting to demand. Social transfers and pension reform. Alternative social models

Democracy vs authoritarianism. Democratic breakthrough : critical for successful transformation. An under-reform trap. Renewed democratization : colored revolutions. Parties, electoral rules, and constitutions. How to tame the leviathan : reform of the communist state. Public opinion and ideology. Democracy and democracy aid

From crime toward law. An explosion of crime. Attempts at building a legal system. Corruption : the bane of transition

The role of oligarchs. Who are the oligarchs? The economics of oligarchy. The politics of oligarchy. Complaints : a matter of ideology. A question of property rights. Putin's alternative : centralized dictatorship

The role of international assistance. The dream of Europe. Western failure to act in the East. Trade policy : a gulf between the EU and the CIS. International assistance : insufficient but crucial

Conclusions : a world transformed. Different models. Achievements and revelations. Why certain polices worked while others did not.