ABSTRACT

In the vast amount of literature on East-West economic relations and their political implications, only a tiny fraction deals with Eastern Europe as a distinct group of countries, worth separate consideration in a complex East-West relationship. The discussion of options for Western policy toward Eastern Europe continues to be dominated by the multifaceted aspects of the West’s relationship with the Soviet Union. Since August 1980, the paradigm of a monolithic Eastern bloc has had diminishing appeal for the interpretation of events. This chapter describes conventional Western views about the nature of Soviet-East European economic relations, and then summarizes Western experience in the use of economic policies for political goals. Policy goals, dilemmas, instruments, and the means of economic influence open to the West are then discussed. The chapter concludes with recommendations about the problem of uniformity versus diversity in shaping Western economic policies toward Eastern Europe.