Privatization and Restructuring in Central and Eastern Europe: Evidence and Policy Options.

Bulgaria, the Czech Republic, Hungary, Poland, Romania, the Slovak Republic, and Slovenia. Because privatization methods show similar results, the extent of restructuring is compared across firms in the seven countries and used for determining which country.Measures of restructuring are examined, including profitability, proportion of the firms with a positive operating cash flow, average operating cash flow as a percent of revenue, growth of labor productivity, growth of total factor productivity, and growth of exports. Econometric analysis was also used to identify the government policies that most encouraged firms to restructure.