Over the last 100 years, in addition to domestic economic aspirations, world wars, global crises and sharp political shifts have shaped Hungary’s economy and society. Moreover, partly linked to, and partly regardless of, these events, the Hungarian economic policy’s tendency to external indebtedness returned from time to time.
Unsurprisingly, under such conditions, our growth cycles were short, while our adjustment periods were more frequent than usual. Catching-up was rare, and mostly financed through external indebtedness.
Then, in 2010, domestic economic policy chose a new path, breaking with decades of old habits, and turning the choice between balance and growth into a duo of balance and growth.
In 2013, we opened a new, unique catching-up period compared to the previous ones, which made the last 10 years the most successful decade of the last 100 years.
As for the new decade, however, the Covid‑19 pandemic has created an unprecedented threat to the whole world, including Hungary. The aim of this publication is to present the crucial moments of the last 100 years of the Hungarian economy through a short journey in economic history.
Our world is undergoing significant transformation due to the pandemic and the new megatrends defining the 21st century. Knowledge of past experience, coupled with the innovations of our time, is a compass that can be used even in the most difficult moments.
With this, if applied properly, even in turbulent times, we can continue our economic convergence, which has never been seen before in Hungary’s economic history.