Capitalist diversity and compliance: economic reforms in Central and Eastern Europe after EU accession

Abstract:

This paper investigates whether different capitalist varieties in Central and Eastern Europe have different records of post-accession compliance.

Drawing on an explorative cluster analysis of 25 EU member states and additional case study evidence, its results suggest that there are two broader clusters of Central and East European countries, which are associated with different varieties of capitalism and privilege certain explanatory factors for (non-) compliance over others: I identify a cluster comprising the Baltic States and Slovakia that leans toward a liberal market economy type.

I argue that post-accession compliance processes in this cluster are dominated by market-based modes of coordination, in which government ideologies and effectiveness gain greater explanatory power. The second cluster is associated with coordinated market economies marked by a more inclusive political process that privileges the interplay of preferences of various state and non-state actors to explain compliance after EU accession.

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