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11/30/1983 - untitled by Bruce F. Hall

The Crane Rogers Foundatlon INSTITUTE OF CURRENT WORLDAFFAIRS Wheelock House 4WestWheelock SJreet Hanover N H 03755 Cable INC WA Hanover NH Bruce F Hall Institute Fellow beginning examination production distribution policies eastern Europe He received B A sophy Antioch College M S agricultural economics Univer California Berkeley Ph D agricultural resource economics Berkeley He conducted overseas research India Colombia latter Tinker Foundation Fellow assistant professor agricultural economics Cornell University before accepting Fellowship His special interest consumer producer cooperatives worked editor writer lecturer Cornell Cooperative Exten before leaving eastern Europe Readers newsletters urged write Institute moved praise criticism advice The newsletters which distributed exactly received Hanover except correction obvious typographical errors Fellows principal means communication outside world Hanover staff their sources feedback TheInstituteofCurrentWoddAffairsisaprivateoperatingfoundation Allcontributionsaretaxdeductible asprovidedbylaw BFH I State Hesse The Center researchers West East urope One ofthe attractions Center Giessen library which extensive Although works English receives almost every major agric ultural economic periodical eastern Europe This means there publications available least different languages The library record visitors contains cards signatures major researchers socialist agriculture Hungary agriculture especially interesting study because being viewed model other socialist countries impressed pronction success The Chinese studying Hungarian reform economic incentives small private farming mthods Groups agriculturalists countries exchanging frequent visits The Soviets inter ested technological advances cessing For example rached agree_ment import several cheese factories Even West Germans recently delegation study manure handling facilities obvious problem large scale livestock complexes Although import Hungary technology there questions called Hngarianmodel adaptable other social economic environments The sheer diversity Soviet Chinese economies Hungarian price reforms decentralization difficult achieve Specific features agricul adaptable however The Hungarian model provides mechanism workers state cooperative farms higher incomes working additional hours their plots The Chinese mechanism their brigades extract labor peasants Western observers journalists interpreted Hungarian economic reforms towards market economy primary reason their interest possible spread these reforms This interpretation necessarily correct however example privte plots illustrates The cencept private clear terminology would imply It should probably called personal rather private These plots actually constitute ownership cases represent contract between farmer state cooperative In sphere animal husbandry privatizatio mainly limited fattening operation A farmer receive piglets cooperative fatten under contract In cooperative BFH I maintain control breeding This characteris economic reforms Hungary The reform mechanism represent change ownership factors production rather change those factors It surprising economists journalists West misinterpreted these developments Western observers focussed China Soviet Union without taking notice great diversity other socialist econoies Hopefully newsletter others Sincerely Bruce Hall Received Hanover