What Did the Study of Transition Economies Contribute to Mainstream Economics?

Basing on examples this paper shows that the experience of the post-communist transition, and the policy-related and academic discussion about it, have made a useful contribution to mainstream economics. In particular, such issues as the role of the state and social policy, institutions and banking system in economic development were reconsidered. The new perspectives on the issue of the efficiency of privatization, path dependence, and the role of political elites in institutional reforms were developed. The author shows which of the recommendations provided by international organizations proved to be inadequate and why.