Soviet subsidization of Eastern Europe: The primacy of economics over politics? |
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Authors: | Josef C Brada |
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Affiliation: | Department of Economics, Arizona State University, Tempe, Arizona 85287, USA |
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Abstract: | The level and distribution of Soviet subsidies to various East European countries, which Marrese and Vaňous attribute in their book Soviet Subsidization of Trade with Eastern Europe: A Soviet Perspective to political considerations, are explained here as, for the most part, the normal outcomes of the economic integration of a bloc with relative resource endowment differing from those obtaining in the rest of the world. The statistical methods used by Marrese and Various to calculate the subsidies are also criticized. |
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