Economic reform History of Hungary



hungarian stamp 2010


the coalition influenced socialism of prime minister gyula horn, economic focus of technocrats (who had been western-educated in 1970s , 1980s) , ex-cadre entrepreneur supporters, , liberal coalition partner szdsz. facing threat of state bankruptcy, horn initiated economic reforms , aggressive privatization of state enterprises multinational companies in return expectations of investment (in form of reconstruction, expansion , modernization). socialist-liberal government adopted fiscal austerity program, bokros package in 1995, had dramatic consequences social stability , quality of life. government introduced post-secondary tuition fees, partially privatized state services, supported science both directly , indirectly, through private sector. government pursued foreign policy of integration euro-atlantic institutions , reconciliation neighboring countries. critics argued policies of ruling coalition more right-wing of previous right-wing government had been.


the bokros package , efforts @ privatizations unpopular voters, rising crime rates, allegations of government corruption, , attempt restart unpopular program of building dam on danube. dissatisfaction among voters helped propel center-right parties power following national elections in may 1998. fidesz gained plurality of parliamentary seats , forged coalition smallholders , democratic forum.







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