The Hungarian economic reform, 1968-82





Hungary, economic reform, Socialism


The present work begins by briefly describing the principal features of the comprehensive economic reform that was introduced in Hungary in 1968, before assessing economic performance under the reform and tendencies towards recentralisation. The economic effects of the policies applied is then analysed. The further reforms of 1980-81 are then evaluated, followed by agriculture and the “Second Economy”. The author concludes that Hungary has successfully established an economic system which combines the large-scale socialist sector, co-operatives, and small-scale private activities in a flexible manner, possibly explaining the availability of a wide range of consumer goods and services that is unique in the CMEA area.


JEL: P21


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How to Cite

BALASSA, B. (2013). The Hungarian economic reform, 1968-82. PSL Quarterly Review, 36(145).