The culture of the jars, some peculiarities of the Bulgarian society and market during the transition to market economy

Date of publication: April 1, 1995

Company: GfK

Author: Kolio Kolev

Abstract:

As a result of the combination of the "Culture of the Jars" and the mechanism of transferring of state funds to the private sector there were: - impossible food prices, but the people feed themselves - solvent demand in goods for long-term use - political and social passiveness of the population - extraordinary tranquillity That is also the reason why in the eyes of many foreigners, Bulgaria looks like the "Sleepyhead of the Balkans", like an incredible country. The sacrifice and the self-sacrifice of a whole generation (the older people) is one of the major reason for this. And so 0 the economic reforms are not coming, there is no large-scale privatisation, the employment rate skyrockets, the state enterprises stop operation one after the other, the buying power of the salaries decreases in times and there is no reaction to all that. For example, You would like to buy a losing enterprise or not functioning at all. As the enterprise is state, You address Your offer to the relevant state department. You make a very good mutual advantageous offer. Nobody else wants to buy this enterprise. It doesn't mean, however, that You are going to accomplish a deal. In most of the cases an enterprise of that kind is part of someone's scheme of transferring budget funds to his private firm. The person (or persons) empowered politically to hold themselves in this situation have enough power to send your offer in the dust- bin. In short Your "mutual advantageous" offer is not properly addressed to those who really own the enterprise and make profit out of it.

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