This study hypothesizes that the major barriers to expanded trade between the U.S. and Eastern Europe are systemic in nature. Using this approach, each political/ economic system is examined in an attempt to define the obstacles to foreign trade expansion, to describe the most important systemic and political factors at work, and to demonstrate how they have determined and will continue to shape the economic relationships between the U.S. and the countries of Eastern Europe. A final synthesis presents the two systems in a unified picture of the economic environment and concludes that significant trade expansion is unlikely in the near future due to basic systemic incompatibilities which impede the resolution of key foreign trade problems.

This research proposes that monetary policy is more than a technical economic policy. Since it is politically controlled, political variables should affect it. In this analysis, the monetary policies of France, Italy, the United Kingdom, and West Germany are described in detail. Political variables potentially affecting this policy are reviewed. Political variables, such as political party in power, electoral competition, electoral cycles, and political instability, are employed in a time series regression analysis of monetary aggregates. Various economic variables are also included to aid model specification. While cross-national variations occur in monetary policy determination, this research shows that political parties follow ideologies in monetary policy-making. Other political variables are not strongly related to monetary aggregates.