ABSTRACT
The transformation of the Czech economy may be the most striking feature of the new country. Not only was the Czech Republic seen as the forerunner of economic transformation in the post-socialist bloc, but this transformation was also fundamental to the development of new Czech values. To the Czech contributions to the world vocabulary of ‘Velvet Revolution’ and ‘Velvet Divorce’ was added the ‘Velvet Recovery’. Yet as in political life so too in economic: the Czech velvet shows signs of fading.
