My time in Paris is over and I’ve arrived safely in Poland. I’ve found exactly what I’d expected. It is a modestly bustling economy, but not setting the world on fire. The slowdown of the last two years appears to be over. Corruption is low for a transition economy, social capital appears to be high, and there is an emerging middle class. The government has serious fiscal problems, but then again they probably should be running deficits, though not at 51 percent of gdp as they are doing. Overall it is hard to see them not turning the corner. If you would like an illustrative lesson as to how the world is a better place than it was twenty years ago, Poland is exhibit B after China as exhibit A.
I might add that Warsaw has excellent food, arguably the best in Eastern Europe after Budapest.
I’m blogging just across from the famous statue of Copernicus. Did you know that he offered one of the earliest statements of the Quantity Theory of Money?