Poland has steadfastly pursued a policy of economic liberalization throughout the 1990s with mixed results. The privatization of small and medium state-owned companies and a liberal law on establishing new firms has encouraged the development of the private business sector, which has been the main drive for Poland's economic growth. The agricultural sector remains handicapped however by structural problems, surplus labor, inefficient small farms, and a lack of investment. Restructuring and privatization of "sensitive sectors" (e.g., coal), has also been slow, but recent foreign investments in energy and steel have begun to turn the tide. Recent reforms in health care, education, the pension system, and state administration have resulted in larger than expected fiscal pressures. Improving this account deficit and tightening monetary policy, with focus on inflation, are priorities for the Polish government. Further progress in public finance depends mainly on privatization of Poland's remaining state sectors, the reduction of state employment, and an overhaul of the tax code to incorporate farmers, who currently pay significantly lower taxes than other people with similar income levels. Złoty. ... For other uses of the initials WTO, see WTO (disambiguation). ... The Organization for Economic Co-operation and Development (OECD) is an international organization of those developed countries that accept the principles of representative democracy and a free market economy. ... Map of world GDP (PPP) by country using the IMF list for 2005 There are three lists of countries of the world sorted by their gross domestic product (GDP) (the value of all final goods and services produced within a nation in a given year). ... Map of countries showing percentage of population who have an income below the national poverty line The poverty line is the level of income below which one cannot afford to purchase all the resources one requires to live. ... This article or section does not cite any references or sources. ... General Name, Symbol, Number iron, Fe, 26 Chemical series transition metals Group, Period, Block 8, 4, d Appearance lustrous metallic with a grayish tinge Standard atomic weight 55. ... The steel cable of a colliery winding tower. ... Surface coal mining in Wyoming. ... Chemical tanks in Lillebonne, France Chemical industry includes those industries involved in the production of petrochemicals, agrochemicals, pharmaceuticals, polymers, paints, oleochemicals etc. ... Men from Francisco de Orellanas expedition building a small brigantine, the San Pedro, to be used in the search for food Shipbuilding is the construction of ships. ... Food processing is the set of methods and techniques used to transform raw ingredients into food for consumption by humans or animals. ... Glass can be made transparent and flat, or into other shapes and colors as shown in this sphere from the Verrerie of Brehat in Brittany. ... The word drink is primarily a verb, meaning to ingest liquids, see Drinking. ... This article is about the type of fabric. ... This article does not adequately cite its references or sources. ...

Agriculture

Agriculture employs 16.1% of the work force but contributes only 3.8% to the gross domestic product (GDP), reflecting relatively low productivity. Unlike the industrial sector, Poland's agricultural sector remained largely in private hands during the decades of communist rule. Most of the former state farms are now leased to farmer tenants. Lack of credit is hampering efforts to sell former state farmland. Currently, Poland's 2 million private farms occupy 90% of all farmland and account for roughly the same percentage of total agricultural production. Farms are small—8 hectares on average—and often fragmented. Farms with an area exceeding 15 ha accounted for only 9% of the total number of farms but cover 45% of total agricultural area. Over half of all farm households in Poland produce only for their own needs with little, if any, commercial sales.

Poland is a net exporter of processed fruit and vegetables, meat, and dairy products. Processors often rely on imports to supplement domestic supplies of wheat, feed grains, vegetable oil, and protein meals, which are generally insufficient to meet domestic demand. However, Poland is the leading producer in Europe of potatoes and rye and is one of the world's largest producers of sugar beets. Poland also is a significant producer of rapeseed, grains, hogs, and cattle. Attempts to increase domestic feed grain production are hampered by the short growing season, poor soil, and the small size of farms.

Industry

Before World War II, Poland's industrial base was concentrated in the coal, textile, chemical, machinery, iron, and steel sectors. Today it extends to fertilizers, petrochemicals, machine tools, electrical machinery, electronics, cars and shipbuilding. Combatants Allied powers: China France Great Britain Soviet Union United States and others Axis powers: Germany Italy Japan and others Commanders Chiang Kai-shek Charles de Gaulle Winston Churchill Joseph Stalin Franklin Roosevelt Adolf Hitler Benito Mussolini Hideki Tōjō Casualties Military dead: 17,000,000 Civilian dead: 33,000...

Poland's industrial base suffered greatly during World War II, and many resources were directed toward reconstruction. The communist economic system imposed in the late 1940s created large and unwieldy economic structures operated under a tight central command. In part because of this systemic rigidity, the economy performed poorly even in comparison with other economies in central Europe. An economic system is a mechanism (social institution) which deals with the production, distribution and consumption of goods and services in a particular society. ...

In 1990, the Mazowiecki government began a comprehensive reform program to replace the centralized command economy with a market-oriented system. While the results overall have been impressive, many large state-owned industrial enterprises, particularly the railroad and the mining, steel, and defense sectors, have remained resistant to the change and downsizing required to survive in a market-based economy.

Economic reform program

The economic reforms of the Balcerowicz plan introduced in 1990 removed price controls, eliminated most subsidies to industry, opened markets to international competition, and imposed strict budgetary and monetary discipline. Poland was the first former centrally planned economy in central Europe to end its recession and return to growth in the early 1990s. Since 1992, the Polish economy has enjoyed an accelerated recovery, although growth has recently slowed. The private sector now accounts for over two-thirds of the GDP. The Balcerowicz Plan (Polish: Plan Balcerowicza), also termed Shock Therapy, was a method for rapidly transitioning from a communist economy, based on state ownership and central planning, to a capitalist market economy. ... MCMXC redirects here; for the Enigma album, see MCMXC a. ... In economics, incomes policies are wage and price controls used to fight inflation. ... A subsidy is generally a monetary grant given by government in support of an activity regarded as being in the public interest. ... Monetary policy is the process by which the government, central bank, or monetary authority manages the money supply to achieve specific goals—such as constraining inflation or deflation, maintaining an exchange rate, achieving full employment or economic growth. ... Central Europe The Alpine Countries and the Visegrád Group (Political map, 2004) Central Europe is the region lying between the variously and vaguely defined areas of Eastern and Western Europe. ... A recession is usually defined in macroeconomics as a fall of a countrys Gross National Product in two successive quarters. ... For the band, see 1990s (band). ... 1992 (MCMXCII) was a leap year starting on Wednesday. ...

As a result of Poland's growth and investment-friendly climate, the country has received over $50 billion in direct foreign investment since 1990. However, the government continues to play a strong role in the economy, as seen in excessive red tape and the high level of politicization in many business decisions. Investors complain that state regulation is not transparent or predictable; the economy suffers from a lack of competition in many sectors, notably telecommunications. In early 2002, the government announced a new set of economic reforms, designed in many ways to complete the process launched in 1990. The package acknowledges the need to improve Poland's investment climate, particularly the conditions for small and medium-sized enterprises, and better prepare the economy to compete as a member of the European Union. The government also aims to improve Poland's public finances to prepare for adoption of the Euro (planned 2009). Telecommunication involves the transmission of signals over a distance for the purpose of communication. ... For album titles with the same name, see 2002 (album). ... “EUR” redirects here. ... 2009 (MMIX) will be a common year starting on Thursday of the Gregorian calendar. ...

Foreign trade

With the collapse of the ruble-based COMECON trading bloc in 1991, Poland scrambled to reorient its trade. As early as 1996, 70% of its trade was with EU members, and neighboring Germany today is Poland's dominant trading partner. Poland joined the EU in May 2004. Before that, it fostered regional integration and trade through the Central European Free Trade Agreement (CEFTA), which included Hungary, the Czech Republic, Slovakia and Slovenia. A Soviet poster reading COMECON: Unity of Goals, Unity of Action The Council for Mutual Economic Assistance (COMECON / Comecon / CMEA / CEMA), 1949 – 1991, was an economic organization of communist states and a kind of Eastern Bloc equivalent to—but more inclusive than—the European Economic Community. ...  member states  former member states  prospective member states The Central European Free Trade Agreement (CEFTA) is a trade agreement between Romania, Bulgaria, Croatia and the Republic of Macedonia. ...

Most of Poland's imports are capital goods needed for industrial retooling and for manufacturing inputs, rather than imports for consumption. Therefore, a deficit is expected and should even be regarded as positive at this point. Poland is a member of the World Trade Organization and the European Union. It applies the EU's common external tariff to goods from other countries (including the U.S.). Most Polish exports to the U.S. receive tariff benefits under the Generalized System of Preferences (GSP) program. This article or section does not cite its references or sources. ...

Opportunities for trade and investment continue to exist across virtually all sectors. The American Chamber of Commerce in Poland, founded in 1991 with seven members, now has more than 300 members. Strong economic growth potential, a large domestic market, EU membership, and a high level of political stability are the top reasons U.S. and other foreign companies do business in Poland.

Foreign business in Poland

The Polish tax system is perceived by many potential foreign investors to be a significant problem. The tax laws themselves are extensive and enforced by a large bureaucracy which at times is hindered by corruption. Crime is another factor which often makes foreign investors hesitant to come to Poland. Recently, there has been a general rise in crime, but at the same time it has become increasingly difficult for the government to prosecute many criminals. Especially pertinent to business, the largest increase in crime was related to theft of property.

Since World War II, Poland has been ethnically homogeneous. 96.7% of the people say they have Polish nationality. Furthermore, they share common religious beliefs; around 95% are practicing Catholics.

In the past decade, Poland has seen many foreigners start businesses and control industries. For example, 70% of the banking sector is owned by foreigners. Because of this, there has been somewhat of a backlash and some Polish businesses prefer to do business only with other Poles.

Polish employment is also a concern because of inflexible employment laws which are at times seen to favor employees. Recent pieces of legislation have been introduced to reduce mandatory overtime pay and loosen some government-imposed requirements for small businesses.

Major Polish companies

• PKN Orlen - Petrochemical corporation
• Telekomunikacja Polska(TP S.A)- Telecom
• PKO BP- Banking
• PKP - National railway
• Poczta Polska - Polish Post
• PSE - National grid
• Elektrim - Diversified utilities / mobile phone service
• Fiat Poland- Polish branch of Fiat Group (former FSM), Builds Panda and Seicento
• KGHM Polska Miedź - Copper mines and mills
• General Motors Poland
• FSO Motors - Former Daewoo FSO. Produces Lanos and Matiz automobiles
• Grupa Lotos- Petrochemical corporation
• PZU- Insurance company
• Warsaw Stock Exchange

// Establishment Orlen is Polands largest and most internationally recognized company. ... Telekomunikacja Polska (Polish Telecom) is Polands former state telephone monopoly, which still dominates the telecom industry. ... PKO Bank Polski, Spółka Akcyjna (PKO BP S.A.) is Polands largest bank. ... Polskie Koleje Państwowe (PKP) is the Polish State Railways. ... Mailbox in Jelenia Góra Poczta Polska is Polish public post service. ... Mailbox in Jelenia Góra Poczta Polska is Polish public post service. ... PSE is the IATA code for Mercedita Airport, and an abbreviation for: Page Size Extension, paging mechanism in computer microprocessor Pale, Soft, Exudative, meat having a pH below 5. ... Fiat S.p. ... FSM may refer to: Free Software Magazine, a magazine about free software The Flying Spaghetti Monster, the deity of a parody religion finite state machine Category: ... Panda may refer to: // Giant Panda Panda (plant), a genus of the family Euphorbiaceae PANDAS or P.A.N.D.A.S. is Pediatric Autoimmune Neuropsychiatric Disorders Associated with Streptoccal infections Qinling Panda, a subspecies of the Giant Panda. ... Seicento (Italian for six hundred; short for mille seicento, 1600) is a term used to describe Italian culture of the seventeenth century. ... KGHM Polska Miedź is one of the largest producers of copper and silver in the world. ... General Motors Corporation (NYSE: GM), also known as GM, is an American automobile maker with worldwide operations and brands including Buick, Cadillac, Chevrolet, GMC, Holden, Hummer, Opel, Pontiac, Saturn, Saab and Vauxhall. ... Meanings of FSO: Fabryka Samochodów Osobowych, a Polish passenger car factory FileSystemObject, computer error read line from Visual Basic code read Financial Services of Ontario, a insurance and investment company Fire support officer, military term for field artillery battalions and brigades, the FSO is the senior field artillery officer... The Daewoo Lanos was a subcompact car designed by Giorgetto Giugiaro and produced by Daewoo Motors from 1997 to 2005. ... The Daewoo Matiz is a city car made by GM Daewoo (in Poland by FSO, and in Pakistan by Nexus Automotive). ... Grupa LOTOS S.A. is a vertically integrated oil concern. ... Powszechny ZakÅ‚ad UbezpieczeÅ„ (PZU) is the oldest and the biggest insurance company in Poland. ... Warsaw Stock Exchange in 1880 The Warsaw Stock Exchange (WSE), Polish: GieÅ‚da Papierów WartoÅ›ciowych w Warszawie SA (GPW) is the largest stock exchange in Central and Eastern Europe. ...

Other statistics

Investment (gross fixed): 18.4% of GDP (2004 est.)

Household income or consumption by percentage share:

• lowest 10%: 3.2%
• highest 10%: 24.7% (1998)

Distribution of family income - Gini index: 30.6 (2004) The Gini coefficient is a measure of inequality developed by the Italian statistician Corrado Gini and published in his 1912 paper Variabilità e mutabilità. It is usually used to measure income inequality, but can be used to measure any form of uneven distribution. ...

Agriculture - products: potatoes, fruits, vegetables, wheat; poultry, eggs, pork

Industrial production growth rate: 17.8% (2006)

Electricity:

• production: 150.8 TWh (2004)
• consumption: 121.3 TWh (2004)
• exports: 15.2 TWh (2004)
• imports: 5 TWh (2004)

Electricity - production by source: The terawatt hour (TW·h) is a unit for measuring energy. ...

• fossil fuel: 95.1%
• hydro: 4.5%
• other: 0.4% (2001)
• nuclear: 0%

Oil:

• production: 17,180 barrel/day (2001 est.)
• consumption: 424,100 barrel/day (2001 est.)
• exports: 53,000 barrel/day (2001)
• imports: 413,700 barrel/day (2001)
• proved reserves: 116.4 million barrel (1 January 2002)

Natural gas: January 1 is the first day of the calendar year in both the Julian and Gregorian calendars. ... For album titles with the same name, see 2002 (album). ...

• production: 5.471 billion m³ (2001 est.)
• consumption: 13.85 billion m³ (2001 est.)
• exports: 41 million m³ (2001 est.)
• imports: 8.782 billion m³ (2001 est.)
• proved reserves: 154.4 billion m³ (1 January 2002)

Current account balance: $-3.831 billion (2004 est.) January 1 is the first day of the calendar year in both the Julian and Gregorian calendars. ... For album titles with the same name, see 2002 (album). ...

Exports - commodities: machinery and transport equipment 37.8%, intermediate manufactured goods 23.7%, miscellaneous manufactured goods 17.1%, food and live animals 7.6% (2003)

Imports - commodities: machinery and transport equipment 38%, intermediate manufactured goods 21%, chemicals 14.8%, minerals, fuels, lubricants, and related materials 9.1% (2003)

Reserves of foreign exchange & gold: $41.88 billion (2004 est.)

Debt - external: $99.15 billion (2004 est.)

Currency exchange rates: Złoty per US dollar - 3.15 (June 2006) 3.7 (2004), 3.8891 (2003), 4.08 (2002), 4.0939 (2001), 4.3461 (2000). Złoty per euro 3.96 (Aug 2006)

History

This article discusses the economy of the current Poland, post-1989. For historical overview of past Polish economies, see:

• Economy of the People's Republic of Poland (1945-1989)
• Economy of the Second Polish Republic (1918-1939)
• Economy of the Polish-Lithuanian Commonwealth (1569-1795)

Capital Warsaw Language(s) Polish Government Socialist republic President  - 1947-1952 BolesÅ‚aw Bierut  - 1983-1989 Wojciech Jaruzelski Prime minister  - 1944-1947 E. Osóbka-Morawski  - 1947-1952 and 1954-1970 Józef Cyrankiewicz  - 1952-1954 BolesÅ‚aw Bierut  - 1970-1980 Piotr Jaroszewicz  - 1980 Edward Babiuch  - 1980-1981 Józef... Anthem: Mazurek DÄ…browskiego Capital Warsaw Language(s) Polish Government Republic President List Prime minister List Legislature Sejm Historical era Interwar period  - World War I November 11, 1918  - Invasion November 2, 1939 Area  - 1939 388,600 km2 150,039 sq mi Population  - 1939 est. ... Wikipedia does not have an article with this exact name. ...

Growth

Recent GDP growth (comparing to the same quarter of previous year):

• Total 2003 3.7%
• Total 2004 5.4%
• Total 2005 3.3%
• Total 2006 6.1%
• Total 2007 (est) 7.6%

In January 2007, industrial output was up 15.6% annually.

Poland entered the European Union on 1 May 2004. May 1 is the 121st day of the year in the Gregorian calendar (122nd in leap years). ... shelby was here 2004 (MMIV) was a leap year starting on Thursday of the Gregorian calendar. ...

See also

• OECD's Poland country Web site and OECD Economic Survey of Poland

Business Portal for Poland

• Economy of Europe
• Politics of Poland
• Poland

The economy of Europe comprises more than 710 million people in 48 different states. ... Politics of Poland takes place in a framework of a parliamentary representative democratic republic, whereby the Prime Minister is the head of government, and of a pluriform multi-party system. ...

References

• Worldmark Encyclopedia of National Economics, Volume 4 - Europe, Gale Group, 2002, ISBN 0-7876-4955-4
• Economic data from Eastern European Markets (ceeMarket.com)