ABSTRACT

This introduction presents an overview of the key concepts discussed in the subsequent chapters of this book. The book describes the banking and capital market restructuring that was essential to the progress made in transitioning economies. It focuses on the economic progress of four selected countries: Poland, Hungary, The Czech Republic and The Slovak Republic. The economies that embarked upon the journey to a market system have had to make a great number of changes along the way. Economic progress is evaluated most often through an analysis of changes in real Gross Domestic Product, inflation and the unemployment rate. The negative growth rates and the ongoing struggle for economic expansion is reflected in the unemployment rate as well. The establishment of banking and capital markets is at the core of the entire financial market plan and is crucial to the development of the private sector.