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Languages: English
Types: Unknown
Subjects: HB, HC59
Estonia’s post-socialist economic performance has been exemplary. Its liberal economy regularly outranks other Central and Eastern European economies, as well as numerous ‘Western’ economies in terms of competitiveness and economic freedom. The neoliberal virtues of small government, laissez-faire macroeconomic policies and international openness have all been reflected in its economy’s transformation. However, it is arguable whether the country’s economic success has been translated into a similar improvement in welfare. Using Estonia as a case, I argue that whereas the neoliberal shock therapy can be an effective tool for quick market-oriented reforms, its long-term use has adverse socio-economic impacts.
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