INSTITUTIONAL AND EVOLUTIONAL ASPECTS OF PRIVATIZATION IN MIDDLE AND EASTERN EUROPE

What infl uences the concept of the privatization strategy and why is a peculiar method being chosen? Is the status quo the best ever possible arrangement? With the help of the theory of institutional change one can explain that privatization strategies do not necessarily consider economic effi ciency, but the choice of a privatization method may show signs of path-dependency and thus create economically suboptimal solution.