Industrial output in Central and Eastern Europe evolved in a U-Shape during the first seven years of transition. The literature explains the initial collapse of industrial output as an inefficient outcome driven by supply side distortions that constrain the transition process. We show that the...

In this paper firm level data are used to test whether competition affects productivity performance in three transition countries, Hungary, Romania and Slovenia. The data are based on interviews taken in more than 300 state-owned, privatized and newly-established private firms between September...