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Technocratic Filters: Domestic Institutions, External Pressures and Varieties of Capitalist Convergence in Postcommunist Europe's Heavy Industry |
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Abstract:
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This paper examines the process of emergence of foreign capital-dominated liberal capitalism in the transition countries of Central and Eastern Europe by analyzing the interaction between domestic and external pressures in a key industrial sector. It examines the surprising convergence on a strikingly similar ownership structure in the steel sector of Poland, Czech Republic, Romania, and Slovakia, all of which sold their steelworks to strategic foreign investors. The outcome is doubly surprising. First, these countries have had the most diverse legacies out of the Central and Eastern European cases. Second, the timing of convergence was counterintuitive as the transition laggards, Romania and Slovakia, privatized their largest steelworks to strategic foreign investors prior to transition leaders, namely the Czech Republic and Poland. The paper process-traces the distinct trajectories these countries took to reach the observed ownership structure. It argues that, depending on their level of state technocratic capacity, these countries were more resilient to the homogenizing effects of some external pressures than of others. The paper divides external pressures into the pressures of international financial markets, international financial institutions (IFIs), and the European Union. Where the level of state technocratic capacity was the lowest (Romania), the IFIs predominated; where the level was intermediate (Slovakia), international market pressures were the driving force. High level of state technocratic capacity (Czech Republic and Poland), on the other hand, allowed the countries to withstand external pressures the longest, only succumbing to EU pressures to stop state aid to the sector and consequently, to sell the steelworks to strategic foreign investors. |
Most Common Document Word Stems:
state (128), privat (98), enterpris (90), govern (74), pressur (73), czech (67), reform (60), romania (59), sector (59), steel (58), eu (55), poland (50), capac (50), countri (49), level (48), financi (48), technocrat (48), polit (47), market (44), restructur (40), vs (39), |
Author's Keywords:
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economic reform, restructuring, privatization, postcommunist Europe, transition, foreign investment, technocratic capacity, state, steel, rent-seeking |
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Association:
Name: American Political Science Association URL: http://www.apsanet.org
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Citation:
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MLA Citation:
| Sznajder, Aleksandra. "Technocratic Filters: Domestic Institutions, External Pressures and Varieties of Capitalist Convergence in Postcommunist Europe's Heavy Industry" Paper presented at the annual meeting of the American Political Science Association, Hyatt Regency Chicago and the Sheraton Chicago Hotel and Towers, Chicago, IL, Aug 30, 2007 <Not Available>. 2011-06-09 <http://www.allacademic.com/meta/p210206_index.html> |
APA Citation:
| Sznajder, A. , 2007-08-30 "Technocratic Filters: Domestic Institutions, External Pressures and Varieties of Capitalist Convergence in Postcommunist Europe's Heavy Industry" Paper presented at the annual meeting of the American Political Science Association, Hyatt Regency Chicago and the Sheraton Chicago Hotel and Towers, Chicago, IL Online <APPLICATION/PDF>. 2011-06-09 from http://www.allacademic.com/meta/p210206_index.html |
Publication Type: Conference Paper/Unpublished Manuscript Abstract: This paper examines the process of emergence of foreign capital-dominated liberal capitalism in the transition countries of Central and Eastern Europe by analyzing the interaction between domestic and external pressures in a key industrial sector. It examines the surprising convergence on a strikingly similar ownership structure in the steel sector of Poland, Czech Republic, Romania, and Slovakia, all of which sold their steelworks to strategic foreign investors. The outcome is doubly surprising. First, these countries have had the most diverse legacies out of the Central and Eastern European cases. Second, the timing of convergence was counterintuitive as the transition laggards, Romania and Slovakia, privatized their largest steelworks to strategic foreign investors prior to transition leaders, namely the Czech Republic and Poland. The paper process-traces the distinct trajectories these countries took to reach the observed ownership structure. It argues that, depending on their level of state technocratic capacity, these countries were more resilient to the homogenizing effects of some external pressures than of others. The paper divides external pressures into the pressures of international financial markets, international financial institutions (IFIs), and the European Union. Where the level of state technocratic capacity was the lowest (Romania), the IFIs predominated; where the level was intermediate (Slovakia), international market pressures were the driving force. High level of state technocratic capacity (Czech Republic and Poland), on the other hand, allowed the countries to withstand external pressures the longest, only succumbing to EU pressures to stop state aid to the sector and consequently, to sell the steelworks to strategic foreign investors. |
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application/pdf |
| Page count: |
35 |
| Word count: |
11977 |
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| Technocratic Filters: Domestic Institutions External Pressures and Varieties of Capitalist Convergence in Postcommunist Europe’s Heavy Industry Aleksandra Sznajder Assistant Professor Department of Political Science University of Richmond asznajde@richmond.edu Paper prepared for presentation at the American Political Science Association Meeting in Chicago Illinois September 2 2007 I gratefully acknowledge the financial support of the Yale Center for International and Area Studies (YCIAS) Globalization and Self-Determination Grant the YCIAS Dissertation Grant the American Council of Learned Societies Dissertation Fellowship in East |
| Special Steel Enterprise at Târgovişte ISCT Romania Câmpia Turzii Industria Sârmei Câmpia Turzii - Câmpia Turzii Wire Factory CSR Romania Reşiţa Combinatul Siderurgic Reşiţa - Reşiţa Steelworks OR Romania Oţelu Roşu Socomet Oţelu Roşu SC Romania Călăraşi Siderca Călăraşi TI Romania Iaşi Tepro Iaşi PR Romania Roman Petrotub Roman SZ Romania Zălau Silcotub Zalău AS Romania Slatina Artrom Slatina 35 |
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