How was Poland able to avoid the worst effects of the economic crisis that gripped

most of Europe during 2008-2009?

Poland was able to avoid the worst effects of the economic crisis by being fiscally
conservative keeping public debt in check, not allowing it to expand during the
recession; joining the European Union, giving it easy access to the large consumer
markets in Western Europe; and curbing inflation to ease Poland’s entry into the European
Union.
What lessons can be derived from the Polish experience during 2008-2009?
The lessons that can be derived from the Polish experience during 2008-2009 include the
fact that P oland was able to embrace change. The trans ition from to
communis t to rule to a democracy went smooth and they were able to
successfully implement the market-based economic rule. Another lesson to be learned
is the fact that Poland was able to keep public debt in check. Other countries allowed the
public debt to expand during the recession, contributing to their economic downfall

From the perspective of international business, what is attractive about the Polish
economy? What are the weaknesses and risks associated with doing business there?
The polish economy is attractive because they know how to maintain the monetary policy;
they have simplified tax laws, reduced tax rates, and attempted to remove bureaucratic
hurdles. The latest Entrepreneurship Law makes it easier to start a business in Poland. On
the other hand it could be difficult doing business with Poland because of extensive
regulations that are still in place
Even though Poland has been committed to liberalizing its economy since the
collapse of communism in 1989, significant vestiges of the old system still remain.
Why do you think it has taken Poland so long to transform its economic, political
and legal system?
Even though Poland has changed from a communist economy to a market- based one, they
have yet to rid the country of the old bureaucratic socialist roadblocks that have been
in place for m a n y y e a r s . P o l a n d t a x s ys t e m r a n k e d 1 5 1 i n t h e w o r l d b y W o r l d
B a n k b e c a u s e o f i t s complicated and archaic regulations. The problem has been
exacerbated by an influx of migrant workers returning from Western Europe resulting in
unemployment rate reaching 11 percent. In order to encourage International Business
Poland has recently committed to making changes. Poland has privatized state-owned
enterprises busting the GDP in 2009 and 2010 as well as passing an Entrepreneurship
Law reducing the number of health, labor, and tax controls that companies had to comply
with