Communist economic system was first introduced in the USSR and later in Poland ( ).

 The authorities determined from the outset what, for whom and at what price should be produced.  The economy followed the command – and – distribution pattern.  Due to lack of competition, the product quality was poor.  The theorists of Communist regime imposed their politics and did not concentrate on the economic calculation.

The authorities set employment and wages thresholds in workplaces. This resulted in over- employment and very low wages (hidden unemployment).

 The system promoted passivity instead of entrepreneurship among the people of Polish Republic (PRL)

 Among all the Eastern bloc k countries, Poland was the only one where some remains of private ownership were maintained (agriculture, craftsmanship, trade), although potential profits were curbed by high taxes  Shops were empty, and scarce goods were obtained either by barter trade or by talon system

 Goods rationing in PRL – the PRL government introduced the talon system for most basic goods. See below: talons for sugar and meat

 August 1980 marked the climax of social unrest. Following an announced rise in prices, strikes erupted throughout the country

 „Solidarność” was created on 17th September 1980, as a result of August agreements, which marked the end of August 1980 strikes. Lech Wałęsa was chosen as the leader of the movement.

Solidarność origin Solidarność comes from the shipworkers’ protest in Gdansk. Solidarność rises as an illegal Trade Union against the Communist regime. It was deeply influenced by Social Catholic values Its main aims were : Free assembly Free speech Right to strike

Solidarność was supported by Western Countries – mainly the USA - through secret channels, such as the Polish Church and the Vatican. Pope John Paul II had a leading role in supporting its spreading

Due to the success of Solidarnosc the regime imposed „the martial law” in December 1981, dissolved this Organization and arrested all its leaders. In the 80s because of the heavy economical crisis the regime collapsed. In 1989 Poland was the first country in Eastern Europe to chose freedom and democracy

 Round table stands for the agreement reached between the authorities and the opposition. Major political and economic changes took place after the agreement.  Lech Walesa, leader of this movement, was elected as the first President of the new Poland.