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Life in Transition 2

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For replication from http://www.ebrd.com/pubs/econo/lit.htm

For replication from http://www.ebrd.com/pubs/econo/lit.htm

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  • 1. Life in Transition Office of the Chief Economist EBRD
  • 2. Life in Transition Survey 29,000 households surveyed in 28 transition September 2006 countries, plus Turkey Public spending priorities Joint project with the World Questions Bank include: Corruption Life Trust in satisfaction public Political, institutions economic and social values
  • 3. Transition – past, present and future 100% Looking back, only 90% 30% of people believe 80% that life is better now 70% than in 1989 60% Disagree 50% No view Today, more people 40% Agree are satisfied than 30% dissatisfied with their 20% lives 10% 0% Looking ahead, a My household All things Children who majority of people lives better considered, I are born now believe that the future nowadays than am satisfied will have a around 1989 with my life better life than will be better for their now my generation children
  • 4. Younger people more upbeat than older generation Older generation has borne the brunt of painful economic and political reforms Younger generation poised to reap the benefits 100% 90% 80% 70% 60% Dissatisfied 50% No view 40% Satisfied 30% 20% 10% 0% 18-34 35-49 50-64 65+
  • 5. The page of history has turned Strong support for democracy and markets More people support democracy and market economy than 40% 36% alternatives 35% But one in ten still 30% 20% support a combination 25% of planned economy 20% 10% and authoritarian 15% 10% government Planned economy 5% Doesn't matter And one in five believe 0% Market economy that form of political t ov r cy tte ng cra and economic system ma ria mo n’ t does not matter for rit a De es t ho Do them Au
  • 6. … but significant variation across the region Percent of respondents who support market economy 80% CEB countries 70% clustered around R2 = 0.6366 moderately high 60% support for both democracy and 50% markets 40% While support for democracy and 30% markets in SEE and 20% CIS+M varies more 20% 30% 40% 50% 60% 70% 80% Percent of respondents who support democracy widely SEE CIS+M CEB
  • 7. The better off tend to support democracy… Support for democracy, by income group 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% Low income Medium High income income Democracy Doesn't matter Authoritarian gov't
  • 8. … as well as market economies Support for market economy, by employment 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% Unemployed Employed Market economy Doesn't matter Planned economy
  • 9. Transition has eroded trust… 100% Across the region, 90% societal trust was 80% stronger prior to 70% 1989 60% Distrust 50% No view In general, trust is 40% Trust low in the transition 30% countries 20% 10% LITS confirms 0% previous survey Most people could Most people can be be trusted prior to trusted now findings in this field 1989
  • 10. … but not for every institution 60% 40% 20% Trust 0% Distrust No view -20% -40% -60% Government Parliament Political Police Presidency Forces Banks Courts Armed Parties
  • 11. Corruption remains a problem… quot;There is less corruption now than around 1989quot; 100% 90% 80% 70% 63% 63% 60% 75% 50% 40% 30% 17% 23% 20% 16% 10% 14% 19% 9% 0% CEB SEE CIS+M Agree No view Disagree
  • 12. 0% 20% 40% 60% 80% 100% Unemployment benefits Other benefits Police Infrequent Courts Official documents Sometimes Public education Corruption in public services … particularly in some sectors Road police Frequent Public health system
  • 13. Public prioritises spending on human capital CEB SEE Education Education Pensions Pensions Housing CIS+M Housing Education Health Health Pensions Housing Remaining categories are Health ‘Environment’, ‘Public infrastructure’ and ‘Other’
  • 14. Life in Transition Office of the Chief Economist EBRD www.ebrd.com/ economics