Capitalist Backsliding

Drawing on deeply interdisciplinary theoretical insights and rich empirical data, this study of illiberal market economies (IMEs) in Central and Eastern Europe brings the full complexity and broader geopolitical implications of state-captured capitalism to light.Focusing especially on recent developments in Hungary and Poland, Rafal Riedel and Jakub Anusik critically examine the shifting dynamics between state and market under illiberal regimes, thereby challenging the mainstream “varieties of capitalism” framework by highlighting the emergence of a distinct economic model characterized by state intervention and market manipulation by political actors, including mainstream political parties. Through detailed case studies, the book illuminates how nations operating under this model have deviated from expected democratic and free-market trajectories and how this affects regional development, democracy, and integration into the global economy.Through these discussions, Riedel and Anusik not only provide a comprehensive overview of the political and economic reforms that have contributed to the rise of IMEs, but also uncover some of the broader roots and implications of state capitalism in the 21st century. For as they show, the same shifts that led to Brexit, Trump, and other instances of “democratic backsliding” in the US and Western Europe have led to the capitalist backsliding occurring in Central and Eastern Europe, and the future development of both may be closely interlinked.