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The loss of control over consumption funds [in society] has compelled people, naturally, to turn their attention from macro to micro problems, and to the question of the enterprises' behavior. The idea of converting the enterprises' capitalization to a stockholding system is a logical assumption with regard to the desire to resolve the problem that there is no one representing the long-term interests of the enterprises.

There have always been two lines of thought on the interpretation of the "separation between the two powers." To put it simply, one argues for strengthening the control of the owners, and the other argues for weakening the same, but for letting the entrepreneurs become the main leading force. This author agrees with the latter viewpoint. What is interesting and meaningful is that although these two interpretations go directly opposite ways in terms of logic, they nonetheless pursue highly unanimous goals in terms of the practice of the reform; that is, they both seek to establish the autonomy of the enterprises themselves, free, or at least relatively free, of the government's administrative interference. Therefore, the difference between the two ideas is obvious and yet also subtle.

With consumption funds going out of control, people naturally turn their attention from the macro economy to the micro economy and set their eyes on the behavior of the enterprises. Transforming enterprises into joint-stock companies is a hypothetically logical solution to the problem of nonrepresentation of the long-term interests of enterprises.

To provide points of reference and lessons for the design of blueprints for reform in 1987-88, we conducted a focused investigation of two countries, [Hungary and Yugoslavia, in order to study] the problems of friction, contradictions, and the general problematic areas that have emerged in the transition from an old to a new system in these two countries, and their trend of development and orientation in resolving their problems. We conducted a total of 111 discussions with the leaders of the reform programs in the two countries, with people in charge of the party and government departments affected by the reforms, with scholarly and academic units that have served in a consultative capacity for the reforms, with well-known scholars, and with representatives of enterprises. Out of these discussions we have been able to put together a summary of the discussions, a document of some 300,000 characters….