Why have some former Soviet-bloc countries had a smoother transition from socialism than others, and why have none adjusted as well as West Germany in the 1950s? The answer lies in the interaction of three factors: the rule of law, the carriers of institutional restructuring, and the informal rules of the community.

Svetozar Pejovich (1931–2021) was Professor of Economics Emeritus at Texas A&M University and Senior Research Fellow for the International Centre for Economic Research in Torino, Italy.
EconomyGovernment and PoliticsLaw and LibertyPhilosophy and ReligionPolitical History
Other Independent Review articles by Svetozar Pejovich
Fall 2005 On the Privatization of “Stolen Goods” in Central and Eastern Europe
Summer 2003 Transition: The First Decade
Fall 1997 Law, Tradition, and the Transition in Eastern Europe