Business Excellence, Vol. 7 No. 1, 2013.
Preliminary communication
CAUSES OF SLOW AND INEFFICIENT TRANSITION OF ECONOMY OF BOSNIA AND HERZEGOVINA AND POSSIBILITIES FOR ITS IMPROVEMENT
Rajko Tomaš
orcid.org/0000-0002-5801-6844
; University of Banja Luka, Faculty of Economics, Bosnia and Herzegovina
Abstract
In this paper, we are investigating the causes of slow and inefficient transition in BiH as well as possibilities for its improvement. In the past seventeen years, the international community has been the strongest integrative power of BiH. Although democratization and market economy are generally emphasized as peace strengthening factors, the market has not succeeded in absorbing resources nor has it provided economic self-sustainability, and democracy has not established institutions to match economic, social and political problems in BiH. This has led to the failure of the fundamental concept of transition set by the international community. The international community should demonstrate its readiness to let domestic politicians take responsibility for the current state of affairs in BiH. Only when domestic politicians have completely taken over responsibility can they become aware of all advantages and all shortcomings of the relationships in BiH established by the Dayton Accord and establish the needed political consensus about the future of BiH. This consensus is the imperative precondition for achieving the functionality of BiH, redrafting the Constitution, establishing a new economic system, conducting a new cycle of economic reforms and accelerating transition.
Keywords
transition; market economy; democratization; economic reforms; new economic system
Hrčak ID:
106141
URI
Publication date:
30.6.2013.
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