ABSTRACT
A second generation of reformers, less constrained by ideology, could apply practical experience to provide purposeful direction to the transition. A response commensurate with the threat of nuclear weapons proliferation is needed to safeguard and oversee huge fissile material inventories in Russia. The hemorrhage of money associated with the utility and energy supply non-payment’s problem is a top priority for attention. Kornai would increase the power of the individual and curtail that of the state, provide a social safety net, build a legal framework, and ensure transparency in government so that policy making is open to public view. Institutional deficiency has caused the energy sector to lag behind economic reform everywhere in the region. International energy cooperation can help solve problems critical to both east and west. Opening international energy cooperation to a broader community of business, environmental, and scientific interests can yield better ideas for achieving security, trade, and climate benefits.
