date=11/8/94
type=background report
number=5-18688
title=Berlin Wall: East Europe Politics
byline=Wayne Corey
dateline=Vienna
content=
voiced at:
Intro: Five years after the crumbling of the Berlin Wall, most
former communist countries in Eastern Europe are still struggling
to adapt to a brave new world. And, in what used to be
Yugoslavia, millions of people are struggling just to survive a
conflict that has created Europe's worst humanitarian crisis
since the Second World War. V-o-A's Wayne Corey reports from
Vienna.
Text: The experts correctly predicted that the transition from
communism to democracy in Eastern Europe would not be rapid or
easy.
True, in the Czech Republic and Poland, the transition has been
relatively smooth. Former dissidents are now presidents of
democratic governments in Prague and Warsaw. But, democracy
remains a fragile flower elsewhere. Its roots are intertwined
with the roots of economic reforms that have yet to be deeply
imbedded in the soil of Eastern Europe.
The democratic transition has been most successful in the
western-oriented Czech Republic under the presidential leadership
of former dissident Vaclav Havel.
Since its separation from Slovakia, the Czech Republic has been
politically stable, and its people are increasingly prosperous.
The Czech Republic and Poland could be the first Eastern European
countries to join the European Union. Despite its economic
success, though, Poland is having marked political growing pains.
There is rising criticism of the Polish president, the former
electrician, Lech Walesa, who led the solidarity movement in the
early 1980's. He was recently censured by the Polish Parliament
for employing allegedly high-handed political methods that were
said to be making him a threat to democracy.
In Hungary, another man who played an important role in the fall
of euro-communism, Gyula Horn, is now prime minister. As
Hungary's reform-minded communist foreign minister five years
ago, Mr. Horn was identified with the opening of Hungary's
borders to East German refugees.
Today, Hungary is eager to join the European Union. But,
surprising economic problems have led to a political resurgence
of the former communist party, now the Hungarian Socialist Party.
It now seems impossible, though, that Hungary or other former
European communist states might return to their bleak and
dreadful communist pasts.
Romania is still painfully emerging from the political dark ages
linked to the brutal dictatorship of the late Nicolae Ceausescu.
The left-wing president, Ion Iliescu, has been accused of using
communist methods to maintain political stability. But, his
government has joined NATO's partnership for peace program, and
it supports European integration.
Of all the countries in Eastern Europe, Bulgaria, under the
Stalinist style leadership of Todor Zhivkov, was probably the
former Soviet Union's closest ally. Today, Mr. Zhivkov is in
disgrace. Bulgaria's president is Zhelyu Zhelev, who led the
Anti-communist Union of Democratic Forces five years ago.
Communist reformers, who make up the Socialist Party, dominate
the Bulgarian parliament. Early parliamentary elections will be
held next month because of a political deadlock in Sofia about
economic reforms.
If Bulgaria was almost a Soviet clone in the old days, Albania
was a hermetically sealed fanatically independent communist
state. Although political change came late to Albania, that
country has also had free elections and now has a democratic
government. The Albanian people just rejected a democratic
constitution but not because it would have institutionalized a
new political system. Many people, apparently, thought the
constitution would give too much power to the president.
Despite all their problems, Albania, Romania and other struggling
young democracies in Eastern Europe are at peace. The people of
what used to be Yugoslavia are not so fortunate.
The breakup of Yugoslavia has led to an absurd and vicious war in
the heart of Europe. The Yugoslav Republics, forced to live
together under the iron grip of the late marshal Tito, went their
own way when Belgrade's grip relaxed.
First in Croatia, then in Bosnia-Herzegovina, ethnic Serbs
refused to be part of independent countries in which they
believed they would be persecuted minorities. In Bosnia, the war
continues in its third year, and for the first time, Muslim-led
government forces are having some success on the battlefield.
But, no one expects peace any time soon. (Signed)
neb/wc/mh/cf
08-Nov-94 9:44 am est (1444 utc)
nnnn
source: Voice of America
*****************************************************************
Date=11/8/94
type=background report
number=5-18694
title=Berlin Wall: East Europe Economies
byline=Barry Wood
dateline=Prague
content=
voiced at:
Intro: In the five years since the Berlin Wall came down nearly
two dozen countries in Eastern Europe and the former Soviet Union
have been attempting with varying success to build functioning
market economies. V-o-A's European economics correspondent Barry
Wood reports on the awesome problems involved in replacing one
economic system with another.
Text: A few months ago the Gallup Organization asked citizens in
18 formerly communist countries, are you better off now than you
were before communism collapsed? Only in three countries --
Romania (55%), Czech Republic (56%), and Albania (84%) -- did a
majority answer "yes." In six other countries a majority of
respondents said they were better off before. Those countries
are Russia (59%), Hungary (53%), Moldova (65%), Ukraine (59%),
Armenia (52%), and Macedonia (51%).
What is called the transformation recession has forced down
already low living standards throughout the region. Of the major
economies only Poland has clearly emerged from recession,
registering substantial economic growth for two consecutive
years.
The predictable trade patterns of the old Soviet system have
collapsed. Oil and gas -- which used to come from the Soviet
Union at very low prices -- now must be imported at world market
prices. Unemployment -- unknown under communism -- has
dramatically increased. High inflation is another new and
frightening problem. Social services have deteriorated. And
there has as yet been no substantive improvement in
environmental protection, telecommunications, and capital
investment.
There is a cliche that living standards and economic performance
deteroriate the further east you move in Central and Eastern
Europe. Indeed, the best performing economies are those closest
to new markets in Western Europe.
Esther Dyson is a New York computer specialist who surveys all of
the economies of Eastern Europe. She has no doubts as to who
the winners are in the transformation.
// Dyson act //
In the market place, in economics and politics overall,
it is Hungary, the Czech Republic, Poland and Slovenia
(that are the winners). They have normal economies.
They are like adolescents that are going to grow up and
be productive adults even though they have normal
teenage problems.
// End act //
In economic terms the euphoria that followed the opening of the
Berlin Wall has long since vanished as citizens discover just how
hard it is to adjust to freedom and market economics. Former
communists -- now often referred to as reform communists -- have
come to power in Poland, Hungary, Lithuania and several other
places. And yet even the communists don't want to return to a
command economy with rigid price controls and little
competition. In Poland and Hungary the reform communists are
pursuing the economic objectives of the governments they
replaced. And they are eagerly seeking foreign direct
investment.
Thus far the Czech Republic, Hungary and Poland are the big
winners in foreign investment, attracting more than 80 percent of
all the foreign capital that has been invested in the region.
Even though the road to prosperity is long and difficult, some
positive results are now being seen. There will be significant
growth this year in several post-communist economies --
particularly the Czech Republic and Poland. But in most parts of
the former Soviet Union -- with the exception of the Baltic
states -- economic performance continues to decline. (Signed)
neb/bdw/mh/cf
08-Nov-94 12:54 pm est (1754 utc)
nnnn
source: Voice of America
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RFE/RL Daily Report
No. 213, 9 November 1994
HUNGARIAN PARLIAMENT RENOUNCES 1996 EXPO RIGHTS. On 8 November,
the Hungarian parliament voted to renounce Hungary's right to hold
the 1996 World Fair Expo in Budapest by a margin of 232 to 94,
with six abstentions, MTI reports. The parliamentary opposition
almost unanimously rejected the cancellation, while the government
argued that holding the Expo would not bring in extra foreign
investment and would cost the taxpayers money. In October, the
Speaker of the House was presented with some 120,000 signatures
calling for a referendum to decide if the Expo should be held.
Recent surveys show that a majority of Hungarians still favor
holding the fair in Budapest. -- Judith Pataki, RFE/RL, Inc.
TINCA COMPLAINS OF WESTERN BIAS. Romanian Defense Minister
Gheorghe Tinca said on 8 November that the West is discriminating
among the emerging democracies of East Central Europe in terms of
cooperation and security. He said some of the former Communist
countries are receiving more military aid than others, and this
could result in a dangerous military imbalance in the East. Tinca
addressed the second day of a symposium in which a delegation from
the Western European Union is also participating. He did not say
which countries are the victims of discrimination, but the RFE/RL
Bucharest correspondent said Romanian officials have often
criticized what they perceive as a Western preference for Poland,
Hungary, the Czech Republic and Slovakia. -- Michael Shafir,
RFE/RL, Inc.
[As of 1200 CET]
(Compiled by Sharon Fisher and Pete Baumgartner)
Copyright 1994, RFE/RL, Inc. All rights reserved.
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