Political History Of Hungary

2060 words - 9 pages

In order to understand Hungary's Euro-policy it is necessary to take a deeper insight into its political history in the face of economic development and monetary integration.The Hungarian political system is characterised by bureaucratic elements such as the power being in the hand of political elites. Reforms are still being made according to power instead of considering social and economic benefits. This is mainly due to its communist historical roots. The early abundance for divergence had long-term consequences for social expectations, party for competition but most of all for bureaucratic politics. Politicians have been creating reforms in the face of winning social acceptance thro ...view middle of the document...

In response the government increased welfare provisions again to avoid "marketisation", which was done by introducing retirement benefits, increasing unemployment benefits and emphasising on public health care. (Vanhuysse, 2006) However, besides wanting to create a stable welfare state, "the government shared a belief in the benefits of a 'return to Europe' and tried to convince Hungarians that social confrontation is non-European, therefore it is to be avoided" (Greskovits, 2008). Nevertheless, this post-communist intention of welfare reform did not manage to solve the problem of macroeconomic instability. By 1995 government overspending pushed deficits to 10% of GDP and increased the already high public debts. Unemployment rose, and Hungary soon experienced a double-digit inflation (Eurostat).1995 brought a change of government (a coalition of Socialists and Democrats) that launched a stabilisation programme in order to restore macroeconomic stability. The new policies brought temporary success but made a considerable cutback on welfare spending and public employment. These policies created an overall shock among the population and resulted in a loss of trust in Socialist and Democrats and reinforced the welfare-oriented structure of political life. However, the new reform helped improve exports and foreign investments, and accelerated economic growth by 5% per year. Moreover, inflation dropped from 30% in 1995 to 10% in 2000, the national currency got stabilised and current account deficit got reduced. That time Hungary experienced a huge economic improvement. By 2000 government deficit got reduced for 3% of GDP and the debt from 80% of GDP to 55%. Chart III.1 in Appendix shows the sudden large GDP increase from 1996 to 1997 and a stable rise onwards. (KSH)However, with the rapid process of Europeanization, political elections in Hungary have become similar to those in Western Europe. During campaigns rivalry and interest-group politics gained importance. Politicians promised both economic and welfare protectionism and tried to implement a mix of them at the expense of fiscal overspending. (Sachs, 1995) Entering the Eurozone required fiscal reforms and an independent Central bank, however, bureaucratic politics started to struggle with control over the Ministry of Finance. Moreover, the coordination of fiscal and monetary policies proved to be more difficult than any of the governments expected. Politicians' aim of achieving central bank independence was out of control, which hindered the coordination of fiscal and monetary policies even after the EU accession. The change of presidents of the Hungarian National Bank (MNB) became more frequent, and the gradually Europeanised central bank laws improved policymaking authority. In addition, welfare politics continued to cause difficulties because the rather nationalist politicians usually could not reach their voters without first addressing their demands for social welfare. Politi...

More like Political History Of Hungary Paper

The Rise Of Non-traditional Political Parties During The Depression - History/grade 12 - Essay

1387 words - 6 pages ... that is described as the harshest time Canadians have ever had to face, and they proved that in these times the standard government man not be what they need. Unusual political parties rose up from the idea of helping the people, and this just shows that the 1930s was most certainly an period where non-traditional political parties were needed to ensure Canada’s survival during the Great Depression. CCF. Canada History: 2013 http ...

Was Athenian Democracy Genuinely Democratic? - History Of Political Thought, Trinity Collage Dublin - Essay

1475 words - 6 pages ... , “As a set of procedures established by the rule of law that guarantees civil and political liberties to oversee popular control of political institutions that make decisions on the allocation of resources.” Athenian democracy origin can go back as far as 600 BC when a statesman named Solon brought through a reform package which laid the foundations for democracy to grow. It wasn’t until 100 years later when a wealthy aristocrat named ...

Analyse The Political Factors Involved In The Unification Of Italy Up To 1861. - IB Higher Level History - Italian Unification - Essay

1071 words - 5 pages ... [Type text] [Type text] [Type text] Meriel Turner History/Italy Mr. Lambe Analyse the political factors involved in the unification of Italy up to 1861. The political factors involved in the Italian unification from 1848 till 1861 included the obtaining of foreign aid and support, the strengthening and mobilisation of Piedmont, the intervention of Garibaldi and the effect it had on Cavour’s policies and the impact of cultural development on ...

Political Dominance Of The Republican Party 1865-1912 - Durham Sixth Form Centre, A Level History - Essay

1339 words - 6 pages ... “The political dominance of the Republican party was due to the internal divisions of its opponents 1865-1912” Assess the validity of this view. In the years 1865-1912, the political dominance of the Republican was partly due to the internal divisions of the Democrat party at this time. These internal divisions were caused by the weaknesses of President Cleveland and the rise of Populism splitting the party. However, there were other factors ...

WORLD WAR 1 - DISCRIPTION IN THE ESSAY - Northeast Mississippi Community College/ APUSH - Essay

806 words - 4 pages ... Kee2 Kortni Kee Morgan Kramer US History II 15 October 2018 World War 1: Isolationists VS Internationalists World War 1, also known as the Great War, began in Europe on July 28, 1914 and lasted until November 11, 1918. During this war, there were two main alliances, the Central Powers and the Allies. The Central Powers consisted of Britain, France, Russia, and later the United States. The Allies consisted of Germany, Austria-Hungary, Bulgaria ...

Homework Paper For Treaty Of Versailles - Texas Southern - Research

2357 words - 10 pages ... and Poland. The League of Nations took control of Germany's colonies. http://www.johndclare.net/images/map%20of%20versailles.jpg The Other Defeated Nations: The Treaty of Versailles determined the punishment that Germany should face. Other treaties determined the fate of those countries that had fought with Germany - Austria-Hungary, Bulgaria and Turkey. Austria and Hungary were divided and therefore signed separate treaties. Austria - The Treaty ...

1848 Revolutions Study Guide Is A Documents Containing 7 Pages Of Detailed, Bibliographed Information Separated Into Categories

2536 words - 11 pages ... March laws are established. Those laws state the end of Austrian political rule within Hungary. Also the Hungarians were given a representative parliament, a promise of democratic elections in the future as well as all Austrian given aristocratic privileges abolished.* Czechs receive similar rights.* The revolutionaries in Hungary, province of Bohemia, and the center of power Austria by May of 1848 seemed to be winning over the governments and the ...

Three Main Causes Of World War I

1019 words - 5 pages ... Great War is the alliance systems. As more military defense rose in several different powerful countries, governments had the idea of forming alliances. While alliances began as a means to ensure public and political safety, overall, they would only provide more terror and violence. For example, there were two major alliances: the Triple Alliance, consisting mainly of Germany, Austria-Hungary and Italy, and the Triple Entente, consisting mainly of ...

Resaerch On Great Britain During Ww1 - Southern Alamance High School World History - Research Paper

605 words - 3 pages ... declare war on Germany because they violated Belgian neutrality and attacked France through Belgium. Great Britain had a deal with Belgium that if Belgium gave Britain access to their ports the Great Britain would have to protect them from enemy nations. And the United States declared war on Germany because of German submarine warfare. So, the way Great Britain viewed the war was: Germany turned a local conflict between Austria-Hungary and Russia ...

What Was The Political Impact Of WW1 On Europe?

1064 words - 5 pages ... political impacts, both direct and indirect.One of the instances of indirect political impact of WWI was the steadfastly developed idea of 'unity' behind ones government, borne by feelings of patriotism. This mainly existed at the very beginning of war, for example in France, the famous 'Union Sacre' formed in around 1914 is an illustration of where socialist ideas were put side in favour of nationalist feelings. Similarly in Germany 'Burgfrieden ...

Cause Of WWII Questions And Answers - History - Essay

1038 words - 5 pages ... Year 10 History 1918 – 1945 Unit 1: Coursework 1 – Causes of war Source 1 Source 2: Fritz Fischer, From Kaiserreich to Third Reich, London, 1986. After 1905 the Reich attempted, in a number of major crises, to break out of its ‘encirclement’, invariably doing so with an eye to the probable domestic ramifications. Its final endeavour led to the First World War. During these crises the Kaiser repeatedly revealed his own weakness ...

World War I

1413 words - 6 pages ... The First World War was a global war that was centered about Europe from 1914-1919. The war was a senseless slaughter of over nine million combative and civilian deaths that no nation benefited from. Rather than the war being fought between Austria-Hungary and Serbia, the instigators of the entire war, their allies took command of the war and caused it to escalate into global catastrophic destruction between some of earth's most prominent ...

The Tsar And The First World War - Year 12 - Essay

1195 words - 5 pages ... The first world war represented global change- its impact is held even in its name. A global war has global consequences. The collapse of Romanov rule changed the course of history and it would be impossible to imagine that the wold war had nothing but the biggest role to play in the fall of the Romanovs. It shattered the resolve of the people, created a unified group of discontent revolutionaries in the form of the army, and left the infamous ...

The Paris Peace Treaties

1754 words - 8 pages ... within various nations that belonged ethnically to another nation. For example, within Hungary were populations of many different groups that weren't distinctly Hungarian. There were many Romanians, for example. To solve this the Peace Treaties cut off a substantial part of Hungary to give to Romania which obviously did not please this once powerful state). Yet it couldn't give all of the Romanian inhabited area of Hungary to Romania and thus ...

Describing The Elements Of What Makes "the Bridge On The Drina" A Novel - Eastern European Literature - Essay

1704 words - 7 pages ... Romero Chiara Elena Romero Professor Oschner Eastern European Literature 27 September 2019 What makes The Bridge on the Drina a novel? The Bridge on the Drina is a unique book; a book that spans four centuries worth of history in regard to the bridge and its effect on the area and people. There is a confluence of urban and rural within Turkey, Hungary, Austria and within the Jewish, Muslim, Christian, and Balkan communities. Some critics ...