Regional Differences in Living Standards in Eastern European Countries - Changes During the Transition

This research aimed to discover how differences in living standards between regional units changed during the period of transformation from 1990 to 1995 in Poland, the Slovak Republic, the Czech Republic and Hungary. The standard of living was measured by the so-called Living Standard Index (LSI), a composite taxonomic measure. Fixed reference points make it possible to compare the standard of living in regional administrative units and to study its dynamics. The analysis was country-specific, since the lists of variable were not fully identical for all the countries studied. The main tools used were LSI variability measures (mainly variance and standard deviation). By identifying trend patterns in the characteristics of LSIs, it was possible to compare the different countries. It was found that * differences in living standards between regional units have been decreasing during the transformation in Poland and in the Czech Republic. In the latter this process is slow and smooth, while in Poland there was a relatively sharp decline which then stopped entirely in 1994 * the only country with increasing differences between regions is Hungary and these differences are growing at a constant rate * the lowest level of regional differences in the LSI was found in Poland, followed by the Slovak Republic and the Czech Republic * the regional differences in Hungary are almost twice as high as in the Czech Republic