[Prev | Next] Created 8/13/1995 by Brad DeLong

Mother Pages: [Power and Violence|Part I. Overview|Slouching Toward Utopia|Twentieth Cent. Econ. History]

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The Iron Curtain

Economic Consequences of Communist Rule


Comparing the GDP per Capita Levels of Economies Behind the Iron Curtain with Those of Similarly Situated Economies that Escaped Communist Rule

 East-Block CountryGDP per Capita Matched West-Block CountryGDP per Capita  Percentage Gap
 N. Korea $700 S. Korea $7,660 91%
 China $490 Taiwan $9,500 95%
 Vietnam $170  Philippines $850 80%
 Cambodia $150 Thailand $2,110  93%
 Georgia $580 Turkey $2,970 80%
 Russia $2,340 Finland $19,300 88%
 Bulgaria $1,140  Greece $7,390 85%
 Yugoslavia $3,240 Italy $19,840  84%
 Hungary $3,350 Austria $23,510 86%
 Czech Republic $2,710 Germany $23,560 88%
 Poland $2,260  Sweden $24,740 91%
 Cuba $460 Mexico $3,610  88%
     
 Geometric Mean: $930  $8,030 88%

Depending on how you count, between two-thirds and seven-eighths of the potential material production and prosperity of a country was annihilated if it fell under communist rule...



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Professor of Economics J. Bradford DeLong, 689 Evans
University of California at Berkeley
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