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Transformation of collective agricultural production in East Germany and its lessons to North Korea

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Frame of Image alist central-planning economy to a market economic system. At some stages it is referred to the transformation process of other countries, in general of Central and Eastern Europe (CEEC). The paper will outline the major steps and consequences of agricultural transformation. A gradual approach of agricultural transformation and adjustment to a market economic system should be adopted and a big bang avoided for North Korea. In a market economy system the government has to give up any role to guide and manage the economy including the agricultural sector. However, it has to provide a sound legal framework which ensures the rights and obligations of private individuals and companies in a fair manner. In addition, while the state is converting the economy from a planning to a market economic system, it has to support the people to get used to this new system over a transitional period.
* IAMO, Halle (Saale), Germany. ** Research Director, Korea Rural Economic Institute, Seoul, Korea.
34 Journal of Rural Development 27 (Summerr 2004)
Ⅰ. Introduction 1
During the late 1980s and early 1990s remarkable changes have taken place in the former centrally planned economies in East Asia, the former Soviet Union and Central and Eastern Europe (CEEC). Most of these countries have changed into marketoriented economies. One of the most dramatic changes took place in Germany. The centrally planned economic system in East Germany (GDR)2 has totally changed into a market-oriented economy through


Full Text
Title Transformation of collective agricultural production in East Germany and its lessons to North Korea
Similar Titles
Material Type Reports
Author(English)

Wolz, Axel; Kwon, Tae-Jin

Publisher

Korea Rural Economic Institute

Date 2004
Journal Title; Vol./Issue Journal of Rural Development:27
Pages 34
Subject Country North Korea(Asia and Pacific)
Germany(Europe)
Language English
File Type Documents
Original Format pdf
Subject Industry and Technology < Agriculture
Government and Law < Political Systems

Abstract

This paper aims to summarize the main steps and experiences of the agricultural transformation process in Germany since 1989 when Eastern part of the country embarked on a transition from a socialist central-planning economy to a market economic system. At some stages it is referred to the transformation process of other countries, in general of Central and Eastern Europe (CEEC). The paper will outline the major steps and consequences of agricultural transformation. A gradual approach of agricultural transformation and adjustment to a market economic system should be adopted and a big bang avoided for North Korea. In a market economy system the government has to give up any role to guide and manage the economy including the agricultural sector. However, it has to provide a sound legal framework which ensures the rights and obligations of private individuals and companies in a fair manner. (The rest omitted)