Document from the year 2017 in the subject Economics - Foreign Trade
Theory, Trade Policy, language: English, abstract: Over a quarter of a
century has elapsed since the disintegration of former Union of Soviet
Socialist Republics (USSR) and former socialist nations from the Eastern
Bloc. The erstwhile countries from East Europe, Central and East Asia
have gradually adopted economic globalization for transition towards
market economies. There has been a plethora of research works in the
academic world regarding the apparent success or failure of
globalization and transition economies as a whole containing strong
arguments in favor and against of globalization. This research paper is
aimed at identifying the major prospective markets among the economies
in transition across the world. For this purpose, an attempt has been
made to formulate an index of transition from socialist to market
economy by means of a combination of conventional econometrical and
statistical methods based on time - series study for a period of 21
years (1995 - 2015) on 19 major countries in the East European, Central
and East Asia (including Russian Federation) which adopted the path of
economic globalization by shedding the rigid structures of socialistic
or command economy since 1990. The Transitional Impact Index (TII) would
help to classify the countries in transition broadly into four
categories, viz., countries with Low, Medium, High and Very High levels
of 'transitional effect' en - route to transformation from socialist to
market economy - which will enable us to detect the potentialities of
the economies in transition to emerge as the future market leaders in an
era of continuing global recession.
