02036cas a2200241 a 4500 AALejournalIMF010475 230101c9999 xx r poo 0 0eng d 15.00 USD 9781451973174 1020-7635 BD-DhAAL BD-DhAAL International Monetary Fund. Research Dept. IMF Staff papers : Volume 39 No. 3. Washington, D.C. : International Monetary Fund, 1992. 1 online resource (286 pages) IMF Staff Papers <strong>Off-Campus Access:</strong> No User ID or Password Required <strong>On-Campus Access:</strong> No User ID or Password Required Electronic access restricted to authorized BRAC University faculty, staff and students This paper examines market liberalization policies in a reforming socialist economy. The aim of this paper is to develop a model of such a reforming socialist economy and to explore the consequences of market-oriented policies in the context of such an economy. A model of a socialist economy is presented, incorporating bargaining over wages and employment in the socialized sector and shortages that are reflected in the black market. The model is used to analyze the implications of liberalization policies, including trade liberalization, an administered price increase, and provisions allowing for increased direct foreign investment. The nonsocialized sector is perfectly competitive and produces an output that is different from that of the socialized sector. It has a neoclassical production function using a sector-specific input (say, capital) and labor. The results suggest that reforms may have different effects under different trade regimes and that small price reforms may have perverse effects. Mode of access: Internet IMF Staff Papers; IMF Staff Papers ; No. 1992/003 Full text available on IMF http://elibrary.imf.org/view/journals/024/1992/003/024.1992.issue-003-en.xml IMF e-Library