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...Kadar has also managed to maintain cordial ties with the West. Says one Reagan Administration official: "Relations with Hungary are by far the best in the Soviet bloc. There are virtually no contentious issues...

Author: /time Magazine | Title: Hungary Building Freedoms Out of Defeat | 8/11/1986 | See Source »

Hungary, though, is now at a crossroads, preparing for the inevitable end of the Kadar era even as some of the bloom has gone from its enviable economic achievements. The economy, which during the 1970s grew at a robust 4.5% annual clip, is now slumping, widening the gap between affluent and less fortunate Hungarians. Private and state-run companies are ringing up huge losses, and traditional export markets are shrinking. Says one Hungarian journalist: "The mood is more unsettled and apprehensive in this country than at any time since...

Author: /time Magazine | Title: Hungary Building Freedoms Out of Defeat | 8/11/1986 | See Source »

...remarkable extent, the history of Hungary since 1956 is the story of one man. Born in a rural town that is now part of Yugoslavia, Kadar was the illegitimate child of a peasant woman. As a youth, he made his way to Budapest and was trained as a typewriter mechanic. When the city erupted in 1930 in bloody workers' riots protesting unemployment, Kadar took part in the fighting. The next year he joined the Federation of Young Communist Workers. In 1942, with Hungary under Nazi occupation, Kadar was jailed. In 1949, after the Communists had come to power, he became...

Author: /time Magazine | Title: Hungary Building Freedoms Out of Defeat | 8/11/1986 | See Source »

Alarmed at the political implications of a sputtering economy, Kadar as far back as 1979 put a brake on imports, including technology. But that left key industries without necessary new equipment. And consumers resisted efforts to limit foreign luxury goods...

Author: /time Magazine | Title: Hungary Building Freedoms Out of Defeat | 8/11/1986 | See Source »

...While Kadar was cannily constructing Hungary's halfway-house economy, he scrupulously followed the Soviet line in matters of foreign policy. Hungarian troops took part in the 1968 Warsaw Pact invasion of Czechoslovakia, and its athletes joined the Soviet-led boycott of the 1984 Summer Olympics. When Soviet Leader Mikhail Gorbachev visited Budapest in June for a Warsaw Pact summit, Kadar guided him through the streets, greeting curious crowds with hearty smiles...

Author: /time Magazine | Title: Hungary Building Freedoms Out of Defeat | 8/11/1986 | See Source »

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