Cover: Specialization Agreements in the Council for Mutual Economic Assistance

Specialization Agreements in the Council for Mutual Economic Assistance

Published 1988

by Keith Crane, Debbie Drezner


Download eBook for Free

FormatFile SizeNotes
PDF file 3.5 MB

Use Adobe Acrobat Reader version 10 or higher for the best experience.


Purchase Print Copy

 Format Price
Add to Cart Paperback85 pages $25.00

This report assesses the effectiveness of specialization agreements for increasing economic integration and achieving other policy goals of the Council for Mutual Economic Assistance (CMEA). Under these agreements, one of the participating countries agrees to satisfy the needs of the group for a particular product and the other (nonspecializing) countries agree to either limit or stop production of the product. Specialization agreements are designed to encourage countries to develop a comparative advantage in the production of particular commodities by constructing plants that exploit economies of scale, by developing technical expertise, and by concentrating research and development in the industry of specialization. The Soviet Union is the motivating force in most multilateral specialization agreements, but some of the smaller, more industrially advanced East European countries participate more actively in bilateral specialization agreements than the Soviet Union does. The evidence suggests that specialization agreements have not been successful in achieving many of the policy goals for which they were designed.

This report is part of the RAND report series. The report was a product of RAND from 1948 to 1993 that represented the principal publication documenting and transmitting RAND's major research findings and final research.

This document and trademark(s) contained herein are protected by law. This representation of RAND intellectual property is provided for noncommercial use only. Unauthorized posting of this publication online is prohibited; linking directly to this product page is encouraged. Permission is required from RAND to reproduce, or reuse in another form, any of its research documents for commercial purposes. For information on reprint and reuse permissions, please visit

RAND is a nonprofit institution that helps improve policy and decisionmaking through research and analysis. RAND's publications do not necessarily reflect the opinions of its research clients and sponsors.