Models of capitalism in Central and Eastern Europe in comparison with Western Europe in the area of product market competition
Mariusz Próchniak
SGH Warsaw School of EconomicsAbstract
The article compares 11 Central and Eastern European (CEE) countries, which are new EU members, with 7 countries of Western Europe representing 4 Western European models of capitalism (continental, Mediterranean, Nordic, and Anglo-Saxon) in the area of product market competition. The analysis covers the 2010-2020 period. One of the goals of the study is to determine the degree of similarity of the institutional architecture of the CEE countries in relation to the reference models in the last year before the coronavirus pandemic outbreak and to analyze the changes in these results over the last decade. Particular emphasis was placed on changes in the degree of similarity between two snapshots: 2010 and 2019. The study includes 26 variables characterizing the product market competition. These variables describe both the institutional architecture of the product market competition (the so-called input variables) and the effects of a given institutional order (output variables). The comparison of countries is based on our own concept of the similarity coefficient. One of the elements of novelty and originality is the analysis of robustness in terms of various Western European countries, which are a reference point, as well as alternative methods of calculating the similarity coefficient. The study shows that the results are robust to the assumptions made. The CEE countries are closest to the Mediterranean model of capitalism (both Spain and Italy). The Nordic model ranks last. The classification of Western European models of capitalism in terms of institutional proximity to the CEE countries is also robust to the exact method of calculating the similarity coefficient.
Keywords:
models of capitalism, varieties of capitalism, product market competition, capitalism, Central and Eastern EuropeReferences
AHLBORN, M. AHRENS, J. SCHWEICKERT, R. (2016), Large-scale Transition of Economic Systems: Do CEECs Converge Towards Western Prototypes?. Center for European Governance and Economic Development Research Discussion Papers (No. 280). Google Scholar
ALEXEEV, M. SONG, Y. (2013), Corruption and Product Market Competition: An Empirical Investigation. In: Journal of Development Economics. 103, 154-166. Google Scholar
AMABLE, B. (2003), The Diversity of Modern Capitalism. Oxford. Google Scholar
ASGHARIAN, H. LIU, L. (2022), Product Market Competition and Stock Return Dependence. In: Finance Re-search Letters. 50, 103207 (DOI: 10.1016/j.frl.2022.103207). Google Scholar
BABOS, P. (2010), Varieties of Capitalism in Central and Eastern Europe: Measuring the Co-ordination Index of a National Economy. In: SEER Journal for Labour and Social Affairs in Eastern Europe. 13(4), 439-458. Google Scholar
COATES, D. (2000), Models of Capitalism. Growth and Stagnation in the Modern Era. Cambridge. Google Scholar
CUMMING, D. J. NGUYEN, G. NGUYEN, M. (2022), Product Market Competition, Venture Capital, and the Success of Entrepreneurial Firms. In: Journal of Banking & Finance. 144, 106561 (DOI: 10.1016/j.jbankfin.2022.106561). Google Scholar
FARKAS, B. (2011), The Central and Eastern European Model of Capitalism. In: Post-Communist Economies. 23(1), 15-34. Google Scholar
FARKAS, B. (2016), Models of Capitalism in the European Union. Post-crisis Perspectives. London. Google Scholar
HALL, P. SOSKICE, D. (2001), Varieties of Capitalism. The Institutional Foundations of Comparative Ad-vantage. Oxford. Google Scholar
HANSON, P. (2007), The Tasks Ahead in Comparative Economic Studies: What Should We Be Comparing? In: Japanese Journal of Comparative Economics. 44(1), 1-14. Google Scholar
KNELL, M. SRHOLEC, M. (2007), Diverging Pathways in Central and Eastern Europe. In: Lane, D. Myant, M. (eds.), Varieties of Capitalism in Post-Communist Countries. Houndmills, Basingstoke, 40-62. Google Scholar
LIN, Y. LIU, Y. CHAN, K. C. (2021), Political Connections and Product Market Competition: Effects and Channels. In: International Review of Economics and Finance. 76, 801-816. Google Scholar
NÖLKE, A. VLIEGENTHART, A. (2009), Enlarging the Varieties of Capitalism: The Emergence of Dependent Market Economies in East Central Europe. In: World Politics. 61(4), 670-702. Google Scholar
PRÓCHNIAK, M. RAPACKI, R. GARDAWSKI, J. et al. (2017), Wyłaniające się modele kapitalizmu w Polsce i krajach Europy Środkowo-Wschodniej na tle Europy Zachodniej. W: Prace Naukowe Uniwersytetu Ekonomicznego we Wrocławiu. 489, 313-327. Google Scholar
RAPACKI, R. (ed.) (2019), Diversity of Patchwork Capitalism in Central and Eastern Europe. London. Google Scholar
RAPACKI, R. GARDAWSKI, J. CZERNIAK, A. et al. (2018), Wyłaniające się odmiany kapitalizmu w Europie Środkowo-Wschodniej: przegląd badań. W: Ekonomista. 5, 523-553. Google Scholar
SGH Warsaw School of Economics
Similar Articles
- Adam Oleksiuk, Is the partnership of Poland and Russia a platform for contacts and economic cooperation? , Przegląd Wschodnioeuropejski: Vol. 12 No. 2 (2021): East European Review
- Izabela Lis-Wielgosz, Social-cultural representation in the medieval Serbia namely, on the strategies of creating the image of Serbian rulers , Przegląd Wschodnioeuropejski: Vol. 11 No. 2 (2020): Przegląd Wschodnioeuropejski
- Wiesław Łach, General Żeligowski’s warfare against Lithuania. Attempts to resolve the conflict by the League of Nations , Przegląd Wschodnioeuropejski: Vol. 12 No. 2 (2021): East European Review
- Adam Ostanek, Decoded war. Code’s Office of the Second Department of Supreme Command Polish Army and the fate of the Warsaw Battle of 1920 , Przegląd Wschodnioeuropejski: Vol. 12 No. 2 (2021): East European Review
- Magdalena Steciąg, Lingua receptiva in Europe: the map and the territory , Przegląd Wschodnioeuropejski: Vol. 11 No. 2 (2020): Przegląd Wschodnioeuropejski
- Pavel Dronov, Yevgeniya Ioanesyan, Maria Kovshova, Images of fear in language communities and cultures: the case of Slavic, Germanic, Romance, and Celtic languages , Przegląd Wschodnioeuropejski: Vol. 11 No. 2 (2020): Przegląd Wschodnioeuropejski
- Michaił L. Kotin, Generation change in Russian poetry of the 19th and 20th centuries: a case study in comparative textual analyses , Przegląd Wschodnioeuropejski: Vol. 11 No. 2 (2020): Przegląd Wschodnioeuropejski
- Elena Karpina, The images of the Orthodox and the Catholics in the historical novel “The Princess of Ostrog” by Vs. S. Solovyov , Przegląd Wschodnioeuropejski: Vol. 11 No. 2 (2020): Przegląd Wschodnioeuropejski
- Oleg Leszczak, The image of science and scientist in the cultural and civilization aspect: Poland – Ukraine – Russia , Przegląd Wschodnioeuropejski: Vol. 11 No. 2 (2020): Przegląd Wschodnioeuropejski
- Aleksei Shliakov, To the history of the Russian vagrancy XVII–XIX centuries , Przegląd Wschodnioeuropejski: Vol. 9 No. 2 (2018): East European Review
You may also start an advanced similarity search for this article.
