"Eastern Europe, Russia, and China emerged from communism with very different records of progress and pain. To understand why, read this book. It presents a fascinating account of transition experiences and reveals many secrets of success and failure." -- Andrei Shleifer, Professor of Economics, Harvard University The collapse of communism in Europe was one of the most important world events since the end of World War II. Although China has taken major steps in the direction of capitalism, in EasternEurope, China, and Central Asia the transformation has been only partly accomplished; in Cuba and North Korea it has not even begun. In Eastern Europe and Russia, economic reforms were accompanied by huge falls in output, followed by some recovery in Eastern Europe, especially in Poland. By contrast, in China output has grown steadily at a rate never seen in Europe. If free markets and private ownership are meant to increase economic opportunity and welfare, why has their...

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