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Country Study, Hungary

Dmitri Maslitchenko [email protected]

Introduction to Hungary’s political history

Hungary has had a long and volatile history of political and economic change. Hungary as a organized society dates back before 1000 AD and has been ruled by different monarchies and foreign regimes every since. This brief introduction will outline Hungary’s political and economic history starting with Hungary’s “Post-1945 World War II era”.

During WWII Hungary fell under German control until the end of the war. After Germany’s defeat in WWII, a commission was established among allied forces (American, Soviet, and British) in which had ultimate sovereignty over the country. However, since the leader of the commission was a member of Stalin’s inner circle, the Soviets exercised absolute control.(Wash. Post., 1) The Government that was provisionally instituted in Hungary after WWII was shortly dissolved and the Hungarian Communist Party replaced them in the 1945 elections.

The (HCP)Socialist government had instituted radical land ownership reforms and had made many utilities, banks and heavy industries state ran. Then in 1949 at the beginning of the Post-Cold war era the Soviet’s gained control of Hungary and in 1949 Hungary adopted a Soviet-style constitution and formed the Hungarian People’s Republic. Hungary’s economic state up until the mid 1950’s was a economy similar to that of a Soviet modeled Centrally Planned Economy. However, the economy in the mid 1950’s had begun a rapid deterioration which led to more political reforms for Hungary.(Wash. Post, 2)

In the mid 1950’s Hungary attempted to withdraw from the Soviet sponsored Warsaw Pact and announced their neutrality and sought backing from the UN. However, the United Nations failed to respond, as they were preoccupied in other areas of the world. As a result of lack of UN support, Soviet troops



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