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The volume focuses on the socio-political aspects of economic transformations in the Eastern European Socialist countries. Particular emphasis is laid on the problem of interrelations between the plan and the market and between economic incentives and social consumption. The volume also examines economic and political factors in the wider political context, particularly looking at the question of democratization within industry and politics.

Distinguished economists Brus and Laski--who were involved with the Planning Office of the Polish economy in the 1950s and 1960s--here develop a theoretical system of economic management which avoids the failings of both market capitalism and central planning. This book examines Marxists claim to socialism's economic rationality and studies the application of the concept in the "real socialism" of Communist party orthodoxy as well as in the tentative attempts at "market socialism," particularly in Hungary and Yugoslavia. The analysis focuses on general features of the evolution of the...