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The End of Transition: An Institutional Interpretation of Energy Sector Reform in Eastern Europe and the CIS

  • Christian Von Hirschhausen
  • Thomas W. Waelde
Article

Abstract

This paper provides an empirical analysis of the growing institutional divergence of systemic transformation in the countries of Eastern Europe and the former Soviet Union. Based upon the institutional theory of economic and legal systemic change, we empirically analyse reforms in a sector where the transformation process proved to be particularly tough: the energy sector. We test to what extent reforms reflect the ideal types seen in Western contexts (e.g. Anglo-Saxon and French), and to what extent new models have emerged. By generalising the results from the energy sector, one key finding emerges: starting from similar reform projects, ‘transition’ in Eastern Europe has led to fundamentally different outcomes, of which we identify three ideal types: i) the reforming Central/Eastern European market economy; ii) the post-Soviet mixed economy; and iii) the Caspian state economy.

transition institutional economics CIS energy sector 

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Copyright information

© Kluwer Academic Publishers 2001

Authors and Affiliations

  • Christian Von Hirschhausen
    • 1
  • Thomas W. Waelde
    • 2
  1. 1.Department of International Economics, DIW German Institute for Economic Research, Berlin, andTU Berlin University of TechnologyGermany
  2. 2.Centre for Energy, Petroleum/Mineral Law & PolicyUniversity of DundeeScotland

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