Evaluation of Transition Process by Using Selected Macroeconomic Indicators and Recommendations for More Advanced Economic Growth

The main objective of the paper is to evaluate the effects of transition on economic trends in the Western Balkan (WB) countries by using the selected economic indicators and to elicit recommendations for more advanced economic growth. The economic trends in the WB countries in the last two decades are characterized by unsatisfactory level of actual gross domestic product, high unemployment and foreign trade deficits, insufficient foreign direct investments and growing indebtedness. Given that the above economic trends are caused by different political and economic circumstances as well as dynamics and the way they implemented a comprehensive economic reform in order to shift from a centrally planned to a market based economy and integrate into the EU, the paper reviews the basic characteristics of the transition in the WB countries and evaluates their effects on the level of economic development of each country.