April 1992 (Revised September 1993)
Case
HBS Case Collection

Poland--1989

Format:Print
| Pages:23

Abstract

Describes the political and economic situation in Poland in 1989, following the country's first democratic elections and the subsequent establishment of a Solidarity-led government. After examining the legacies left by 40 years of Communist rule, the case lays out the problems that face the new government and the choices it must make. Most centrally, it outlines the Sachs proposal for a rapid "leap to the market" and lays out the arguments for and against such a move. Designed to encourage students to think about the structural prerequisites for capitalism and to realize the difficulties the new Polish government will face as it tries to balance its economic and political objectives.