Economic Transition

Pre-requisites: Passed exam in Foundations of Economics

Course objectives: The goal of this course is to introduce students to complex and often controversial processes of transition which make up the basis for analyzing a whole spectrum of evaluative, sociological and political changes in modern societies.

Course description: In this course, students will be introduced to contemporary economic transitory processes in former socialist countries that, in the beginning of the 1990's, were necessary for participation in globalization in the world economy and the complex problems that these countries face during attempts to connect and participate in the international economy. Throughout this course students will learn about the process of privatization not only in Serbia and Monte Negro, but also other former Yugoslavian countries and post socialist countries and models of privatization in developed countries. Students will be exposed to experiences of developing businesses in developed countries and in economies in transition, which will be compared with results and conditions of privatization processes in Serbia and Monte Negro. We will also review the subject of transitions in the finance sector, which was an inseparable segment of the process of privatization on which financing and development of new private businesses is completely dependent on.

Learning Outcomes: Students will become familiar with a whole gamut of economic directions, movements and macroeconomic mechanisms, which will help them understand the meaning and value of the process of privatization and entrepreneurialism in former socialist countries.

Literature/Reading:

• Zec, M i B. Živković, TRANZICIJA REALNOG I FINANSIJSKOG SEKTORA, Institut ekonomskih nauka, Beograd, 1997.
• WORLD DEVELOPMENT REPORT, World Bank, Washington D.C., 1996, 1997, 1998, 1999, 2000.
• TRANSITION REPORT, European Bank for Reconstruction and Development, 1994, 1995, 1996, 1997, 1998, 1999, 2000.
• Erić, D., FINANSIJSKA TRŽIŠTA I INSTRUMENTI, Naučna knjiga, 1997.
• 3. La Porta, R., F.L. de Silanes, A. Shleifer, R.W. Vishny, LAW AND FINANCE, NBER Working Paper, July 1996.
• 4.Mishkin, F.S., THE ECONOMICS OF MONEY, BANKING AND FINANCIAL MARKETS, Addison-Wesley Longman Inc, United States, 2002.
• Bajec, J. i Lj. Joksimović, SAVREMENI PRIVREDNI SISTEMI, Ekonomski fakultet, 2001.