Why did output decline drastically in the economies undergoing transition?

The International Economy And Globalization MCQs for PPSC, FPSC, NTS, and Pakistan government job tests. Select an option below, then read the explanation.

The International Economy And Globalization

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Published
27 May 2019
Last updated
28 May 2026

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Explanation

The sharp drop in output in transition economies resulted from multiple issues: dysfunctional banking systems, insufficient corporate oversight, and the absence of critical infrastructure. Therefore, all these factors combined caused the decline.

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